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Asian markets fell alongside Wall Street as investors await key US jobs and inflation data. Concerns over a tech bubble, fueled by weak earnings from Oracle and Broadcom, weighed on sentiment. The Federal Reserve's interest rate decisions are in focus, with mixed signals from officials. Major Asian indices, including Tokyo, Hong Kong, and Shanghai, saw significant declines. The crypto market also faced pressure, with bitcoin dropping. The yen gained against the dollar ahead of a Bank of Japan rate hike.
Three companies closely related to AI infrastructure construction—Broadcom, CoreWeave, and Oracle—experienced another decline on Monday after a significant drop last week, highlighting a clear shift in market sentiment towards pessimism. Broadcom's stock price fell 5.6% on Monday, following an 11% plunge on Friday; Oracle dropped 2.7% on Monday, with a cumulative decline of 17% over the past three trading days; CoreWeave's stock price fell about 8% on Monday, after a previous week's drop of 11%
Broadcom's stock price has fallen for three consecutive trading days, with a cumulative decline of 17.7%, marking its worst three-day performance since March 2020. This sharp drop has led to a market value evaporation of over $300 billion, roughly equivalent to the market value of AMD. After the market value shrinkage, Broadcom has been surpassed by Meta in the ranking of market values of publicly listed companies in the United States, falling out of the top six
The final trades of the day with CNBC's Melissa Lee and the 'Fast Money' traders.
