Concerns mounted that inflation could reaccelerate amid strong economic indicators and rising crude oil prices. Consequently, Treasury yields surged and expectations for further interest rate hikes increased, dampening investor sentiment particularly across tech stocks and pushing equity markets lower.
Strong U.S. September Composite PMI data and rising oil prices stoked inflation concerns, pushing the 10-year Treasury yield above 5.1%.
Tightening fears intensified following hawkish remarks from Fed Governor Michael Barr hinting at further rate hikes and weak demand in the 5-year Treasury auction.
Brent crude oil surpassed $100 per barrel due to stalled U.S.-Iran negotiations and heightened geopolitical risks.
Chinese President Xi Jinping made a state visit to the U.S. for a bilateral summit and negotiations on tariffs and AI.
Michael Burry expanded short positions in Micron and Palantir, citing memory semiconductor oversupply and stretched valuations.
As AI infrastructure investment spreads across memory semiconductors and power infrastructure, investment sentiment toward major tech stocks is improving. However, concerns over contracting consumer spending caused by the U.S. Federal Reserve's rate-hike stance and inflation burdens are limiting sharp market gains.
Despite a rise in U.S. August retail sales, real purchasing power declined due to high inflation, including energy, and the burden of high interest rates, heightening caution over further Fed tightening.
As AI infrastructure investment demand rapidly expands from GPUs to memory semiconductors, expectations are rising for a revaluation of core valuations for next-generation HBM and DDR5 memory companies.
As the possibility of participating in large-scale nuclear power plant construction increases under the second Korea-U.S. investment project in the United States, expectations of broad benefits for domestic nuclear energy companies are strengthening.
Despite attempts to resume dialogue between the U.S. and Iran, defense order momentum continues due to interceptor missile depletion and expanding weapon resupply demand from the prolonged Middle East conflict.
Bargain hunting flowed into gold prices due to the perception that concerns over additional Fed tightening were priced in, alongside global central banks' demand for foreign exchange reserve diversification.
The shift to an 800VDC power paradigm in next-generation AI data centers centered on Nvidia is accelerating order growth for high-efficiency power equipment, including semiconductor transformers.
