Global stock markets were mixed, with Wall Street extending losses due to a tech stock sell-off fueled by AI investment concerns. Bitcoin stabilized after a plunge, while Asian markets mostly declined, except for Tokyo, and commodity prices showed volatility.
World shares saw mixed performance on Friday, largely influenced by Wall Street's extended losses driven by heavy selling in technology stocks. This sell-off was fueled by persistent concerns regarding the return on massive artificial intelligence (AI) investments by major tech firms, with companies like Qualcomm, Alphabet, and Amazon experiencing declines after announcing substantial AI-related capital spending. The emergence of sophisticated new AI tools from startups like Anthropic further contributed to the software stock downturn, raising fears of market disruption. Meanwhile, Bitcoin, the world’s largest cryptocurrency, showed signs of stabilization around $66,000, rebounding from a brief dip below $64,000 on Thursday, though still significantly below its October record. European markets presented a varied picture, with Paris's CAC 40 down, Germany's DAX up, and Britain's FTSE 100 largely flat. In Asia, most markets declined, including South Korea's Kospi, Hong Kong's Hang Seng, Shanghai Composite, and Australia's S&P/ASX 200, often weighed down by tech shares. However, Tokyo's Nikkei 225 bucked the trend with gains, led by technology stocks and optimism surrounding Prime Minister Sanae Takaichi's upcoming election. Toyota Motor also announced a change in its CEO. In commodity markets, gold and silver experienced volatility after a recent rally, with gold slightly down and silver seeing a significant drop. Crude oil prices, both U.S. benchmark and Brent, saw gains, while currency markets saw the U.S. dollar weaken against the Japanese yen and strengthen against the euro.
