A look ahead at the European and global markets from Ankur Banerjee
The prospect of slowing sales growth at AI juggernaut Nvidia (NASDAQ: ) and continued concerns about the country’s tensions are keeping investors on edge but bitcoin continues to move higher, undeterred, toward $100,000 on bets that Trump 2.0 will be crypto-friendly.
Futures show European stock markets are set to open slightly lower as investors digest Nvidia’s forecast of the slowest profit growth in seven quarters. For investors accustomed to the darling of AI surpassing all ratings, the numbers seemed disappointing.
The forecast will likely weigh on suppliers and the broader market given Nvidia’s position at the center of all things AI, which has driven many of the market’s gains in recent months.
With few economic readings due during the European session, technology stocks in the region, which have already fallen to their lowest level in three and a half months this week, may dampen markets on Thursday.
Indian conglomerate Adani Group was in the news after its chairman Gautam Adani was indicted in New York for his alleged role in a $265 million bribery scheme, according to US prosecutors.
The collapse of the Adani empire, which was rocked by an onslaught of short sellers in February 2023, was immediate, with shares in the conglomerate’s listed companies falling between 10% and 20%. Its dollar commitments also fell.
In currency markets, the dollar remained ahead, hovering near one-year highs touched last week.[FRX/]
The dollar has been rising since Donald Trump’s landslide victory earlier this month as investors anticipate that proposed tariffs may drop, pushing U.S. prices to a long-term high.
The talk of the town though remains bitcoin, which is up nearly 40% in the two weeks since the election as investors expect the Trump administration to impose friendly regulations on the crypto sector.
The largest cryptocurrency touched a record high of $97,798 in Asian hours, with $100,000 not far behind.
Key developments that could impact markets on Thursday:
Economic events: French business climate in November; The euro zone consumer confidence flash for Nov
(By Ankur Banerjee in Singapore; Editing by Edmund Klamann)
