Millennium wheel and skyline at sunset. London, England.
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LONDON — European stock exchanges fell on Tuesday as global markets retreated on fresh concerns about artificial intelligence stocks.
pan-european Stocks 600 As of 12:08 p.m. ET (7:08 a.m. ET), the index was down 1.4%, with all major exchanges and sectors in negative territory.
Technology losses dragged down Wall Street on Monday after the three major US indexes ended in negative territory, with European regional markets following global markets into the red. The Dow Jones Industrial Average fell more than 550 points (1.2%), and the S&P 500 and Nasdaq Composite each fell about 0.9%.
Looking at individual stocks, intermediate capital group It rose 5.5% on Tuesday. amundi has announced that it will acquire a nearly 10% stake in a global private equity and alternative asset management company listed in London. Shares in French investment management giant Amundi fell 3%.
Akzo Nobel Shares fell 0.5% after the Dutch paint and functional coatings maker announced a merger with the Philadelphia-based company. Axalta Coating System.
Swiss pharmaceutical company RocheMeanwhile, prices rose 6.7% after positive results were reported in a Phase III trial of a new breast cancer drug. Separately, novo nordisk Shares fell 1.4% after the Danish drugmaker said it would bring forward plans to cut the monthly price of its obesity drug Wegovy in the U.S. from $499 to $349. The price cuts were scheduled to begin in January following a prior agreement with US President Donald Trump.
Overall, healthcare stocks are in negative territory, with the Stoxx 600 healthcare index most recently down 0.5%. Elsewhere, Stoxx600 Basic Resources fell 2.7%, and banks also fell 2.7%.
Concerns about AI
U.S. investors are awaiting the delayed jobs report this week and Nvidia’s latest earnings report on Wednesday. The chipmaker, whose stock price fell 2% yesterday, is at the center of a debate about the strength of this year’s artificial intelligence-driven market rally.
The boom in Big Tech bond issuance and the pace of AI chip declines are raising concerns about market breadth weakness, high tech valuations, and the health of AI fundamentals.
Asia-Pacific markets fell overnight, but US stock futures were little changed.
In Europe on Tuesday, gains came from Siemens Energy and Imperial Brands. No major data released.
— CNBC’s Pia Singh contributed to this market report.
