International markets update:
Markets experienced a significant sell-off as renewed concerns around artificial intelligence company spending came to the fore, compounded by a sharp rise in oil prices amidst escalating geopolitical tensions.
- U.S. equities suffered a broad decline, with the tech-heavy Nasdaq tumbling over 2% for its worst day since June, while the S&P 500 recorded its largest decline since July, dipping 1.2%.
- Meta Platforms slumped nearly 7%, leading tech losses after reporting negative free cash flow and raising its full-year capital expenditure forecast, fueling broader concerns about AI investment costs.
- The bond market saw a flight to safety, with the benchmark 10-year U.S. Treasury yield sliding more than 17 basis points to 4.972%, marking its biggest one-day decline since March 2023 and falling below 5% for the first time in a month.
- Oil prices surged significantly as Brent crude futures gained 4% to close at $113.17 per barrel, reaching its highest level since May 4, driven by rising geopolitical tensions in the Middle East.
Stock Market News summarised for the Wall Street Investors Club community.