Zheng Quan Shi Bao·2025-11-18 15:56Market Overview - On November 18, U.S. stock indices experienced a significant decline, with the Dow Jones down 1.22%, S&P 500 down 1.13%, and Nasdaq down 1.72% [1][2]. - European markets also fell, with the UK FTSE 100 dropping over 1%, and major indices in France, Germany, and Italy declining by more than 2% [2]. Labor Market Data - According to ADP, U.S. companies cut an average of 2,500 jobs per week in the four weeks ending November 1, indicating a loss of momentum in the labor market [2][3]. - The U.S. Department of Labor reported that the number of initial jobless claims was 232,000 for the week ending October 18, with continuing claims at 1.957 million [3]. Federal Reserve Insights - The upcoming non-farm payroll report is expected to be crucial for the Federal Reserve, especially given the recent labor market data [4]. - The probability of a 25 basis point rate cut by the Federal Reserve in December has dropped below 50%, down from 95% a month ago, reflecting increased market uncertainty [5]. Investment Sentiment - A monthly survey by Bank of America indicated that global investors increased their allocation to stocks and commodities in November, while cash holdings fell to 3.7%, triggering a "sell" signal [5]. - The survey highlighted that 45% of investors view the "AI bubble" as the biggest tail risk, with a record number of investors believing companies are "over-investing" [5]. Technology Sector Performance - Major tech stocks saw declines, with Nvidia, Amazon, and TSMC dropping over 3%, while Microsoft and Meta fell over 2% [7]. - Nvidia and Microsoft announced a strategic partnership with AI startup Anthropic, with Nvidia committing up to $10 billion and Microsoft up to $5 billion [7]. Cloudflare Incident - Cloudflare experienced a significant network outage affecting multiple platforms, leading to a stock price drop of over 7% at one point, closing down over 3% [7][8]. Chinese Stocks Performance - The Nasdaq China Golden Dragon Index fell over 1%, with notable declines in stocks like Pinduoduo (down over 6%) and Tencent Music (down over 3%) [8].