Tesla rose over 3%. Broadcom fell 5.7%. US Treasury volatility dropped to its lowest level since May of last year, with the 10-year Treasury yield edging down by 0.5 basis points. The US dollar declined for four consecutive days. The offshore renminbi once surged above the 7.04 level. Ethereum fell nearly 9% from its daily high, breaking below the $3,000 mark. Gold approached last Friday’s high before falling more than 1.5%. Silver rose 3.7%, reclaiming the $64 mark.
November in the United Statesnonfarm payroll dataThe release, scheduled for Tuesday, pushed global markets into a wait-and-see mode. US stocks, bonds, and currencies oscillated around the previous week’s closing levels, with risk assets lacking direction as investors were clearly reluctant to bet on a single scenario ahead of key data releases.
Several institutional figures noted that while this week’s employment and inflation data are important, the market remains restrained in assigning them a “single decisive role.” The prevailing consensus is that as long as employment does not experience a cliff-like drop, weaker-than-expected data may instead reinforce bets on further easing.
US equities edged lower on Monday, with the Nasdaq posting relatively larger losses. The sell-off in AI-related stocks continued, as tech giants like Broadcom and Oracle extended their declines from last week, weighing on the technology sector and the broader market. Broadcom fell for three consecutive trading sessions, marking its worst three-day performance since 2020.
The synchronized decline in crypto assets also weighed on risk sentiment, with Bitcoin briefly falling below the $86,000 mark and Ethereum dropping below the $3,000 threshold. Ahead of the employment data, US Treasury volatility dropped to its lowest level since May of last year, with the 10-year Treasury yield edging down by 0.5 basis points.
The US Dollar Index fell for four consecutive days. The Japanese yen strengthened notably, as the market began pricing in potential policy signals from the Bank of Japan this week. Short-term covering by hedge funds and macro funds contributed to increased currency volatility.
Oil prices continued to decline, with WTI crude retreating to near $56 per barrel as geopolitical risk premiums further receded and global demand outlook remained cautious. Gold surged before plummeting, falling over 1.5% after nearing last Friday’s high. Silver outperformed gold, reclaiming the $64 mark.
The three major US indices closed lower on Monday, with the Nasdaq Composite falling approximately 1% and the small-cap index declining 0.8%. The Technology Sector ETF fell nearly 1%, leading declines among US sector ETFs. Tesla hit a new yearly high. Broadcom fell for three consecutive trading days, recording its worst three-day performance since March 2020.
Benchmark US Equity Indices:
The S&P 500 Index fell 10.90 points, or 0.16%, to close at 6816.51.
The Dow Jones Industrial Average fell 41.49 points, or 0.09%, to close at 48,416.56 points.
The Nasdaq Composite Index dropped 137.757 points, or 0.59%, to close at 23,057.413 points. The Nasdaq 100 Index declined by 129.469 points, or 0.51%, to end at 25,067.265 points.
The Russell 2000 Index fell 0.81% to close at 2,530.667 points.
The VIX volatility index, often referred to as the 'fear gauge,' rose 4.89% to close at 16.51.
U.S. Sector ETFs:
The technology sector ETF fell 0.97%, while the Internet Index ETF, Global Technology Index ETF, Energy Sector ETF, and Semiconductor ETF declined between 0.84% and 0.34%.
Mag 7:
The Mag 7 index, which tracks the seven largest U.S. technology companies, dropped 0.26% to close at 203.81 points.
Tesla rose 3.56% to close at $475.31, nearing its record closing high of $479.86 set on December 17, 2024, and its intraday record high of $488.5399 reached on December 18 of the same year.
NVIDIA and Meta each gained up to 0.73%, while Class A shares of Google and Microsoft fell up to 0.78%. Apple dropped 1.50%, and Amazon declined 1.61%.
Chip Stocks:
The Philadelphia Semiconductor Index closed down 0.61% at 6,990.405 points.
Taiwan Semiconductor fell 1.47%, while AMD dropped 1.52%.
Chinese Concept Stocks:
The Nasdaq Golden Dragon China Index closed down 2.17% at 7,582.05 points.
Among popular Chinese stocks, Pony AI and Baidu both fell 4.9%, Alibaba declined 3.5%, and XPeng also dropped 3.5%.
Cryptocurrency-related stocks:
CleanSpark plunged over 15%, BMNR and IREN tumbled over 11%, Circle fell nearly 10%, Strategy dropped over 8%, MARA slid over 7%, and Coinbase fell more than 6%.
Other stocks:
Eli Lilly and Co rose 3.38%, while Berkshire Hathaway Class B shares increased by 1.37%.
Broadcom fell 5.59%, marking a third consecutive trading day of declines with a cumulative drop of 18%, representing its worst performance over the same period since March 2020.
Salesforce fell 2.92%, Oracle declined 2.66%, Netflix dropped 1.49%, Adobe slipped 1.48%, and Qualcomm gained 0.54%.
European stock markets closed up more than 0.7%, with TUI rising over 7.9% and Mondelez gaining approximately 6.6%, leading among component stocks. The Italian index climbed nearly 1.4%, with the banking sector surging over 2.2%, reflecting an increase in investor risk appetite.
Pan-European equities:
The European STOXX 600 Index closed up 0.74% at 582.54 points.
The Eurozone STOXX 50 Index closed up 0.56% at 5752.52 points.
National indices:
The German DAX 30 Index closed up 0.18% at 24,229.91 points.
The French CAC 40 Index closed up 0.70% at 8,124.88 points.
The UK FTSE 100 Index closed up 1.06% at 9,751.31 points.
European individual stocks:
Among the Eurozone blue-chip stocks, Wolters Kluwer closed up 3.40%, Schneider Electric rose 3.10%, Banco Santander gained 2.50%, UniCredit rose 2.30%, and Intesa Sanpaolo increased by 2.12%.
Among all the components of the European STOXX 600 Index, TUI Group closed up 7.95%, Magnum Ice Cream rose 6.57%, ThyssenKrupp gained 4.61%, and B&M European Value Retail ranked fourth with a rise of 4.37%.
Editor/jayden
