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Fundamental Analysis: U.S. Equities Tread Water as Investors Reassess AI Bets

November 12, 2025, 11:17
U.S. equities tread water as investors reassess AI bets

U.S. equities tread water as investors reassess AI bets

Wall Street traded unevenly as optimism about an imminent end to the U.S. government shutdown was offset by growing concern that AI stocks have become overvalued. SoftBank Group announced it had sold its entire stake in Nvidia to raise funds for its own AI ventures, a move that reinforced doubts about whether the sector’s rapid spending spree can deliver sustainable returns. Nvidia shares fell around 2% in early trading, reflecting nervousness over inflated valuations and fading investor enthusiasm for AI-linked equities.

Gold Market Update

Gold is trying to recoup previous losses as traders weighed weak U.S. job data against the likelihood of the government reopening soon, as well as the potential of a third rate cut in a row by the Fed. Despite a softer dollar, bullion failed to gain momentum due to outflows from gold-backed ETFs as investors took profits following a rapid rally to record highs above $4,380 in October. Sentiment toward gold has cooled in recent weeks as the metal’s fast run-up encouraged some to reduce exposure.

Bitcoin Market Summary

Bitcoin remained under pressure, struggling to recover from last month’s sharp decline. After briefly topping $107,000, the cryptocurrency fell back below $105,000 amid persistent fatigue across digital asset markets. The slide was driven by profit-taking from large holders and lingering caution following recent liquidations, leaving sentiment fragile and momentum subdued.

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