In brief
Artificial‑intelligence stocks that slumped 19% in the first week of November finally stopped selling out on Friday, sparking a 4.8% rally across global markets and nudging U.S. indices higher. Market analysts cite optimism about earnings and a firmer dollar as key drivers, while Asian markets remain mixed, with Japan’s Nikkei up 1.3% at the close but earlier reports noting a sharp drop. The tech sector’s rebound helps temper fears of a broader slowdown in AI‑driven growth.
Artificial‑intelligence shares that had fallen 19% over the past month finally stopped selling out on Friday, driving a 4.8% global rally that lifted Wall Street indexes up.
According to the Associated Press, the rally lifted the Nasdaq Composite 0.4%, the S&P 500 0.1% and the Dow Jones Industrial Average 0.4%, while the Nikkei rose 1.3% to 31,102. The report lists a 4.8% overall gain across world markets for the session.
Market analysts say the rebound was largely fueled by optimism about corporate earnings and a stronger outlook for the U.S. dollar, which helped offset earlier concerns about continued rate hikes by the Federal Reserve.
AI stocks themselves halted a brutal sell‑off that began at the start of the month, a factor that helped blunt the sector’s steep decline.
Other reports noted a different picture in Asia, with Japan’s Nikkei falling 5.7% earlier in the day and South Korea’s Kospi sliding 7.4% in the same session.
The technology sector’s correction, described by the Associated Press as showing an inverted "U" pattern after a recent ascent, also tied to sharp swings during Google’s earnings period.
While Asian investors remain cautious amid rate‑hike talk, the overall rally helped steady a volatile trading session and praise for corporate earnings has kept investor sentiment buoyant.
