Global Markets Artificial Intelligence Fears: Volatility with Wall Street

AI Doubts Shake Wall Street

Recent volatility on Wall Street has led to a significant decline in high-value technology stocks and cryptocurrencies. Fed Governor Christopher Waller indicated that further interest rate cuts may be possible, while U.S. Treasury bonds are trying to recover their losses.

Decline in Technology Stocks

With the loss of confidence in artificial intelligence companies, a noticeable decline has been observed in technology stocks. For example, Nvidia Corp. shares fell by 3.8%. These developments accelerated the losses as the S&P 500 broke through an important technical level, resulting in a 1.2% decline in the index. Additionally, the Nasdaq 100 experienced a 1.9% drop.

Global Market Indicators

U.S. futures indexes are flat, while European stock markets are trending upwards. The MSCI Asia Pacific Index fell by 0.7%, and South Korea's Kospi and Japan's Nikkei 225 indices experienced losses of over 1%.

Currency and Oil Market Winds

The Bloomberg Dollar Index, which rose by 0.21% on Wednesday, continues to hold onto its gains. However, geopolitical risks in Venezuela and Russia continue to overshadow the still-weak global supply outlook. Oil prices have also drawn attention by rising for the second consecutive day.

Fluctuations in Oil Prices

Brent oil initially rose to $61, but lost some of its intraday gains due to President Donald Trump not addressing the developments in Venezuela. U.S. crude oil WTI is trading above $56.