LONDON – European markets ended Friday’s session in negative territory, extending the previous day’s losses amid concerns about the AI ​​bubble.
The pan-European Stoxx 600 ended trading 0.6% lower, with all major exchanges in the red.
the united kingdom FTSE 100 was 0.6% lower, that of France CAC The index fell 0.2% and that of Germany DAX lost almost 0.8%. Italy MIB FTSE fell 0.4%.
right movementThe stock price plummeted on Friday, falling as much as 28% before closing the day down 12.5%, after the company forecast weaker operating profits due to heavy investment in AI. UBS analysts said the “strategic pivot raises important questions for which the market will not yet have answers” and moved their price target and rating for Rightmove under review.
By contrast, the UK television company MOT soared 16.6% after confirming it was in talks with Comcast about a possible sale of its television business, in a deal valued at £1.6 billion ($2.1 billion).
Shares of Novo Nordisk, which lowered its growth estimates earlier this week, closed down 5.1% on Friday following a deal with US President Donald Trump to reduce prices for weight-loss drugs.
As earnings season continued, those reporting Friday included Richemont, Grupo AerolÃneas Consolidadas Internacionales SA, Daimler Truck Holding AG, Amadeus IT Group SA, Cellnex Telecom SA and OTP Bank NYRT.
Investors were also paying attention to a host of data, including import and export data in Germany and French trade figures. In the UK, the Halifax House Price Index showed that the average house price rose 0.6% during October, the largest monthly increase since the beginning of this year.
The posts follow central bank decisions that saw the Bank of England and Norway’s central bank keep rates steady.
BOE Governor Andrew Bailey told CNBC that rate cuts are coming, and economists are now pricing in a rate cut before Christmas.
“We are past peak tightening, which is what you would expect given we have cut interest rates five times. [since Aug. 2024]. For my part, I think the policy is still restrictive, but it has already passed the peak of restriction,” Bailey told CNBC’s Ritika Gupta.
Asian markets fell overnight, following the tech-led sell-off on Wall Street. Japan’s benchmark Nikkei 225 index, which has recently made gains, fell 2.03%, with AI-related stocks leading the losses. Softbank, which will present its report next week, fell more than 8%.
In the United States, stocks fell on Friday as the tech rally appeared to lose momentum. The biggest decliners in the U.S. on Thursday were Nvidia, Microsoft, Palantir Technologies, Broadcom and Advanced Micro Devices, indicating investors are cooling off on AI-related stocks. CNBC’s Jim Cramer attributed it to bubble fears and the length of the government shutdown.
Elsewhere, billionaire Elon Musk won approval for a pay package of up to $1 trillion from Tesla shareholders, with 75% support among voting shares.
