Market Overview
On November 12, 2026, Wall Street faced a downturn with the US100 index falling over 1%. This decline was attributed to a combination of factors including concerns surrounding Nvidia, the broader AI supply chain, rising US Treasury yields, and hawkish expectations from the Federal Reserve. Additionally, comments made by former President Donald Trump regarding Iran contributed to the negative market sentiment.
Nvidia's Impact
Nvidia's stock experienced a significant drop of approximately 8% in pre-market trading. This decline was exacerbated by ongoing leadership issues within the company, which have raised concerns across the AI sector. Following a previous gain of nearly 2.3%, Nasdaq 100 futures fell by more than 1% as the market reacted to these developments.
Interestingly, while Nvidia struggled, its competitors such as AMD and Broadcom saw gains, fueled by speculation regarding potential shifts in market share.
Geopolitical Concerns
Trump's statement, “We don’t need a deal with Iran,” has been interpreted as a sign that the US administration is not prioritizing an agreement with Iran, which has dampened optimism surrounding negotiations that had previously shown signs of progress. This geopolitical tension has further influenced market sentiment negatively.
Global Market Reactions
Asian markets reflected this negative sentiment, with Taiwan’s Taiex dropping 2.6% and South Korea’s Kospi declining by 0.6%. In Europe, technology stocks also faced pressure, although the broader Stoxx Europe 600 index was supported by a rotation into consumer stocks.
US Economic Data
Recent US labor market data showed initial jobless claims at 200,000, slightly above the expected 194,000, while continuing claims fell to 1.697 million, compared to a forecast of 1.71 million. This data did not significantly alter the overall economic outlook.
Oil Prices
Brent crude oil prices remained stable near $92 per barrel. Increased oil production from the Middle East has limited upward price pressure, but ongoing tensions between the US and Iran continue to support a geopolitical risk premium affecting shipments through the Strait of Hormuz.
Technical Analysis
The Nasdaq 100 index, after nearly recovering from a sharp sell-off the previous Thursday, has lost momentum. A potential downside move towards 27,600 points, which aligns with the 23.6% Fibonacci retracement of the latest bearish trend, could signal a return to a broader downtrend. Key resistance is identified at around 28,700 points, while support levels are noted at 27,600 and 26,600 points.