Nasdaq Midterm Selloff Puts AI Trade and CPI to the Test

The Nasdaq midterm selloff saw the index fall 5.5% in a single session as markets weighed what a Democratic Congress means for the AI buildout. Fiona Cincotta, StoneX Senior Market Analyst, explains how the midterm fallout, U.S. jobs data and inflation releases are moving stocks, oil and sterling. Tech stocks took the biggest hit on concerns that AI data center investment could slow under a Democratic Congress, and a partial rebound followed as markets de-risked. U.S. nonfarm payrolls came in at 165,000 against a 65,000 forecast, with markets pricing around an 80% chance of a Federal Reserve rate hike in December and U.S. CPI inflation data next in focus. The Bank of England raised rates by 25 basis points in a unanimous 9 to 0 vote, yet GBP/USD slipped as the U.S. dollar strengthened. WTI crude oil fell around 16% as the midterm result raised expectations of a quicker end to the Middle East conflict. 00:00 - Midterm Shock Hits the Nasdaq 00:39 - Tech Rebound Tests AI Trade 01:26 - Fed Hike Bets Hinge on CPI 04:23 - WTI Oil Sinks on Midterms 05:53 - BoE Hikes in a Unanimous Vote 07:06 - Sterling Eyes GDP, CPI Risk Discover Actionable Insights with the latest Market Outlook Reports: https://intel.stonex.com/offer?language=en&campaignId=A908C315-DC62-4F35-AC16-870BB71E84D1&utm_source=youtube&utm_medium=social&utm_campaign=sxtv_guest_fiona_cincotta&utm_content=share Like and subscribe for more financial market insights. #Nasdaq #StoneX #FionaCincotta #CPI --------- Like this video? Subscribe and turn on notifications so you don't miss any videos from StoneX: https://www.youtube.com/@stonex_official Visit https://www.stonex.com/en/insights/thought-leadership/?utm_source=youtube&utm_medium=social for insights, perspectives and thought leadership from StoneX's global network of experts. Visit our website: https://www.stonex.com?utm_source=youtube&utm_medium=social