Global Stocks Tumble Amid AI Concerns, Nvidia Leads Decline

Global shares are mostly lower, with the US market tracking a decline in tech shares including Nvidia. The Nikkei 225 declined 1.5%, while the Taiex in Taiwan fell 3.0%. Hong Kong's Hang Seng gained 0.2%, while Pop Mart International Group's shares soared 12.5% after its CEO announced plans to release a mini version of its popular Labubu dolls. The S&P 500 and Dow futures are down 0.2%.

Global shares experienced a mixed performance on Tuesday, with notable declines in major tech shares and a rebound in the US dollar index. The US market saw a significant drop in tech shares, including NVIDIA, which fell by 3.5%, contributing to the broader decline of the Nasdaq. The Nasdaq, which had rebounded on Monday, fell more than 1%, marking its second-largest decline since the tariff impact in April [1].

The S&P 500 and Dow futures also experienced a decline, with the S&P 500 closing down 0.59% at 6411.37 points and the Dow Jones closing up 10.45 points, an increase of 0.02%, at 44922.27 points [1]. The Dow Jones was supported by Home Depot, which rose over 3% after reporting positive earnings, while the S&P 500 and Nasdaq were dragged down by the decline in tech giants.

The Nikkei 225 declined 1.5%, while the Taiex in Taiwan fell 3.0%. Hong Kong's Hang Seng gained 0.2%, and Pop Mart International Group's shares soared 12.5% after its CEO announced plans to release a mini version of its popular Labubu dolls [1]. The S&P 500 and Dow futures are down 0.2%, indicating a cautious start to the trading day [1].

The US dollar index rebounded from a two-week low, while the implied volatility of the Chinese yuan fell to its lowest level since March last year. Bitcoin briefly dropped over $4,000, falling below the 113,000 mark, while Ethereum fell over 6% in intraday trading for two consecutive days [1].

In the bond market, US Treasury yields fell back after three consecutive days of increases. The yield on the U.S. 10-year benchmark Treasury bond surged past 4.34% in early European trading, reaching a daily high, before declining. By midday trading in the U.S., it fell below 4.30%, hitting a daily low, distancing itself from the high of over 4.35% reached on Monday, the highest since August 1 [1].

The pan-European stock index rose for the second consecutive day to a new high in over five months, with the UK stock market rebounding to an all-time high. The STOXX Europe 600 Index closed up 0.69% at 557.81 points, reaching its highest level since March 3 [1].

References:
[1] https://news.futunn.com/en/post/60837779/us-stock-market-close-the-three-major-indices-showed-mixed