The opening of trading on Wall Street brings a notable deterioration in sentiment, with selling pressure hitting tech stocks in particular. Tech-heavy Nasdaq 100 futures are down about 1%, while the S&P 500 and Dow Jones are falling around 0.7%. In the background, crude oil prices continue to slide, with Brent crude slipping below $90 per barrel (for the first time since August), and WTI losing more than 2% to trade around $85 following signals from Donald Trump that further strikes on Iran would not be necessary.
The primary driver of the equity selloff is the October CPI inflation data published at 14:30, which came in higher than market forecasts. Core CPI rose 0.3% MoM versus the 0.2% expected, while the headline figure accelerated to 0.4% MoM against a consensus of 0.3%. These readings immediately boosted the US dollar and triggered a spike in bond yields. The report carries added significance following earlier remarks by Fed Governor Christopher Waller, who backed a December rate hike and warned that core inflation running at 0.3% MoM or higher signals the need for more aggressive monetary tightening, including a 50 bps hike.
Company News
- Anthropic: The creator of the Claude model filed documents for an IPO scheduled for November 18, targeting a fully diluted valuation of $1.4 trillion and planning to raise up to $90.4 billion with backing from tech giants (including Google, Microsoft, and Nvidia). In Q3, revenue surged to nearly $17 billion, though the company posted an operating loss of $567 million weighed down by massive infrastructure costs and pricing pressures across the AI sector.
- Take-Two Interactive (TTWO.US): Investors are heavily pricing in the upcoming release of Grand Theft Auto VI, brushing aside conservative company guidance and reports of softer NBA 2K sales. (Company shares up around 7.5%)
- Aaon (AAON.US): Shares of the HVAC systems manufacturer surged following the release of its quarterly report. The company confirmed solid profitability outlooks, projecting a gross margin of around 26% in 2026. (Stock price up over 20%)
- Nvidia (NVDA.US): Uncertainty around the company is mounting amid reports of an FBI investigation involving CEO Jensen Huang and earlier interventions by the firm's legal team into a government probe on chip smuggling. (Down over 3.5%)
- CoreWeave (CRWV.US): Market attention is focused on today's earnings release. Sentiment around the AI infrastructure provider is tense-bond yields have topped 15%, pushing its debt into distressed territory.
Technical Analysis US100 (1D)
After defending lows below 27,000 pts, US100 is rebounding dynamically and testing key resistance at the 200 EMA (28,342 pts). The RSI (14) indicator rose from deep oversold territory to 40.3 pts, signaling waning selling pressure. A sustained break above the 200 EMA would open the door to the resistance zone marked by the 100 EMA and 50 EMA (29,273-29,365 pts), while rejection at this level risks a retest of recent lows. Source: xStation5
Calendar for the Rest of the Session
- 16:50 - Speech by Lorie Logan (Fed)
- 18:00 - WASDE Report (monthly USDA supply and demand estimates for agricultural commodities)
- 19:30 - Jeffrey Schmid (Fed) participates in a Fireside Chat
- 21:30 - Speech by Michelle Bowman (Fed) on the economic outlook
- 00:30 - Speech by Anna Paulson (Fed) on the economic outlook
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