Market Summary - November 12, 2026
US Market Overview
US indices opened lower, with the Nasdaq 100 down 1.2% and the S&P 500 off nearly 0.7%. The decline is largely attributed to a significant drop in Nvidia shares, which fell nearly 12%. Additionally, comments from Donald Trump regarding negotiations with Iran have added to market uncertainty, while the Federal Reserve's Beth Hammack indicated that further interest rate hikes may be necessary.
Nvidia's Impact on Competitors
Shares of Broadcom and AMD rose approximately 2% following the resignation of Nvidia's CEO, Jensen Huang. Investors speculate that this leadership change may provide competitors with an opportunity to capture market share. In contrast, Nvidia's shares dropped around 10%, emphasizing the strength of its rivals. Colette Kress, Nvidia's long-time CFO, has been appointed as the interim CEO.
Nebius Performance
Nebius, a major neocloud company, saw its shares decline nearly 16% despite reporting third-quarter revenues that exceeded analysts' expectations. The sell-off was primarily driven by disappointing future guidance, overshadowing the positive earnings report. This reaction indicates that investors are prioritizing future outlooks over current performance metrics.
Oil and Energy Sector
Oil prices have increased following Trump's remarks that the US does not require a deal with Iran, raising concerns about geopolitical risks and potential disruptions in the Strait of Hormuz. WTI futures rose over 1% to above $87 per barrel, while Brent crude traded above $94. This uptick in oil prices has positively impacted energy stocks like Chevron and ExxonMobil, which gained around 1%.
Federal Reserve's Stance
Fed official Beth Hammack delivered a hawkish message, advocating for continued interest rate hikes to achieve a more restrictive monetary policy. She noted that recent data indicates broadening price pressures and highlighted energy as a potential source of secondary inflation risks. Hammack emphasized the importance of acting promptly to avoid larger, more disruptive rate increases in the future. Her comments suggest a negative outlook for bonds and rate-sensitive equity sectors.