Europe open: Shares slump as AI bubble fears continue to dog sentiment
By Frank Prenesti
Date: Tuesday 18 Nov 2025
(Sharecast News) - European shares slumped at the open on Tuesday following a negative session on Wall Street overnight amid continuing fears over the valuations of Artificial Intelligence companies.
The pan-regional Stoxx 600 index was down 1.23% to 565 at 0810 GMT. All major bourses were in the red with Germany's DAX down 1.35%, Britain's FTSE 100 0ff 1% and France's CAC 40 sliding 1.5%.
"Futures tied to the S&P 500, Nasdaq 100, and major European indices pointed to further losses ahead. Investors flocked to safer assets like bonds, driving the 10-year Treasury yield down three basis points to roughly 4.11%," said Patrick Munnelly at Tickmill Group.#
"This shift reflected growing jitters over lofty valuations in AI-related stocks, with Nvidia's earnings on Wednesday expected to set the tone for tech shares. Attention will then turn to Thursday's delayed September jobs report, which could offer clues about the Federal Reserve's next move on interest rates."
"In the US, traders are growing increasingly cautious as the selloff picks up steam. This rare streak coming to an end has sparked fears of a more significant correction-potentially 10% or more."
Sentiment was also hit as Google boss Sundar Pichai warned that no company would be immune if the AI valuation bubble were to burst.
In equity news, Roche shares jumped as the pharma giant's giredestrant breast cancer treatment produced positive results in a phase 3 trial.
Amundi shares fell as the French investment management firm said it was expanding its private markets presence by taking an almost 10% stake in global private equity and alternative asset manager Intermediate Capital Group.
Novo Nordisk was also lower after the Danish drugmaker said it would bring forward a plan to cut the monthly price of its Wegovy obesity treatment in the US to $349 from $499. The reduction had been scheduled to start in January.
Reporting by Frank Prenesti for Sharecast.com
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