Meanwhile, earnings forecasts are rising as semiconductor valuations fall, and more. Each week, the Syz investment team takes you through the last seven days in seven charts.

Major U.S. stock indexes ended a volatile week lower as investors weighed the implications of Tuesday’s midterm elections, which saw Democrats gain control of both chambers of Congress. Democrats’ win initially fueled optimism that a shift in the political landscape could ease geopolitical tensions, particularly with Iran. However, equities reversed course sharply on Thursday as investors reassessed the implications of Democratic electoral gains for corporate earnings and regulatory policy. Concerns about potentially tighter oversight of the AI industry, compounded by disappointing outlooks from major semiconductor companies, triggered substantial selling in technology shares. The Nasdaq 100 declined 6.4%, while semiconductors plunged more than 12%, both recording their worst sessions since March 2020. U.S. stocks partially recovered on Friday.

Meanwhile, France’s debt problem has no clear political owner, and Europe’s housing markets are moving in different directions. Each week, the Syz investment team takes you through the last seven days in seven charts.

Major U.S. stock indexes closed the week mixed as large-cap growth and AI-related stocks sharply reversed early-week gains to finish lower, while small-cap and value-oriented stocks outperformed. The Russell 2000 index advanced 1.30%, while the Nasdaq Composite shed 2.00%, the Dow Jones Industrial Average lost 0.85%, and the S&P 500 Index dropped 0.57%. Large-cap value stocks outperformed their growth counterparts for the fourth consecutive week. AI-related stocks rallied early in the week, rebounding from the prior week’s declines as some upbeat earnings results, funding announcements, and generally favorable management commentary helped renew optimism surrounding demand and capital spending.

Meanwhile, France’s debt problem has no clear political owner, and Europe’s housing markets are moving in different directions. Each week, the Syz investment team takes you through the last seven days in seven charts.

Major U.S. stock indexes closed the week mixed as concerns about AI-related spending and financing weighed on large-cap technology shares, while small-cap and value-oriented stocks outperformed amid a rotation in market leadership. The small-cap Russell 2000 Index led the major benchmarks, advancing 2.00%, followed by the Dow Jones Industrial Average, which gained 0.41%. Conversely, the Nasdaq Composite and S&P 500 Index shed 0.71% and 0.47%, respectively. In the large-cap universe, value stocks outpaced growth for the third consecutive week. Oil prices moved higher late in the week amid reports of renewed tensions in the Middle East, reversing earlier declines tied to optimism surrounding U.S.-Iran diplomatic discussions.

US inflation is accelerating, yet Treasury yields are tumbling, raising fresh questions about bond market risks as hyperscaler debt issuance surges. Each week, the Syz investment team takes you through the last seven days in seven charts.

US inflation accelerated to 3.7% in September as energy costs jumped, up from 3.4% for two months, with core CPI at 2.6% year on year versus 2.5% expected. Producer prices posted their biggest rise in 4½ years and retail sales beat expectations. October hike odds spiked, then faded after Mary Daly signalled no need to move at the 27–28 October meeting; markets now see a 91% chance of a December hike. On the geopolitical side, attacks around the Strait of Hormuz surged, with Iran stepping up strikes in response to the US blockade of its ports. Ukraine hit a Russian refinery after Kyiv abandoned the Trump-brokered energy ceasefire. Brent tested $110 and WTI traded at $101. Oil eased but recorded a small weekly gain amid Mideast supply focus. In equity markets, AI financing fears hit tech. CoreWeave’s slump triggered a global rout in AI stocks.

Meanwhile, earnings growth, not valuation expansion, is doing the heavy lifting behind the S&P 500’s rally. Each week, the Syz investment team takes you through the last seven days in seven charts.

Major U.S. stock indexes finished the week mixed amid volatility in artificial intelligence (AI)-related stocks, developments in the Middle East, and sharp moves in energy prices and Treasury yields. The S&P 500 Index advanced 1.15%, while the Dow Jones Industrial Average and Nasdaq Composite added 0.93% and 0.64%, respectively. Conversely, the Russell 2000 Index declined. At the sector level, consumer staples, utilities, and energy led performance, while industrials and information technology stocks declined. Oil prices were volatile throughout the week as investors weighed developments in the Middle East and the outlook for energy supply.