Nvidia slides on spy fears as oil markets ease

Spy games?

Nvidia, the world’s second largest company by market capitalisation, was hit by allegations that its CEO Jensen Huang had an extra-marital affair with an alleged spy for China’s Ministry of State Security intelligence agency. Alice Huang. According to the Financial Times, she had pitched an AI chips deal to China-based investors, touting her ability to secure the US company’s coveted GPUs and her commercial relationship with Chinese tech giant Alibaba. On Sunday the company's board launched an internal investigation into whether Huang had been targeted. Huang is Nvidia's fifth-largest shareholder and owns approximately 3.6% of Nvidia’s shares, according to LSEG data. On Monday US President Donald Trump said that the FBI was also looking into these allegations. Huang has been an important ally of President Trump in Silicon Valley. According to Reuters, Nvidia shareholders were quick to sue Huang and the company in a proposed class action on Monday, accusing them of defrauding shareholders by concealing Huang's ties with a suspected Chinese spy.

China denied that Huang had been targeted, with Chinese Foreign Ministry spokesperson Guo Jiakun telling reporters in Beijing that "the so-called Chinese spy narrative is purely a groundless accusation, slander, and a smear."

Equities

Markets rallied on Monday as inflation concerns fell on lower oil prices amid signs of potential negotiations between the US and Iran, with the S&P experiencing its strongest session since March as each sector rose during the trading session. The tech-heavy Nasdaq had its best day since June. The Philadelphia Semiconductor Index rose 6.9% after plunging more than 12% last week, its biggest weekly drop since April 2025. However, Nvidia shares slumped 4.2% due to the Chinese spying scandal surrounding its CEO Jensen Huang.

Boeing announced in an internal memo to employees that it was cutting 5% of its workforce as it needs to reset the pace of its production rate ramps as it struggles to increase jetline production.

• S&P 500 7,549.94 2.35%
• Nasdaq Composite 25,253.14 +2.74%
• Dow Jones Industrial 52,389.75 +2.15%
• DAX 26,267.19 +1.73%
• CAC 40 8,233.30 +1.16%
• FTSE 100 10,782.87 +1.02%

Currencies

The dollar index fell against major currencies on Monday due to easing concerns around the risk of escalation in the Iran war and investors moving back into risk assets after last week’s selloff in AI-related stocks.

• DXY 101.67 -0.56%
• EUR/USD $1.1223 +0.72%
• GBP/USD $1.3443 +0.64%
• USD/JPY ¥157.91 -0.34%
• Bitcoin $74,944.92 -1.15%
• Ethereum $2,127.02 -0.20%

Fixed Income

US Treasury yields rose on Monday ahead of today’s CPI as expectations for a rate hike by the Fed at the December meeting stood at 84%, according to CME FedWatch, up from 74.4% a week ago. On Monday, Richmond Fed President Tom Barkin said the Fed should move its monetary policy "with care" as it maps a response to inflation.

France's 10-year bond yield dropped to a six-week low on Monday as falling energy prices continued to support European bonds.

• US Treasury 10-year +3.0 bps 4.891%
• German Bund 10-year +2.6 bps 3.283%
• UK Gilt 10-year -1.8 bps 5.125%
• France OAT 10-year -2.6 bps 4.740%
• Italy 10-year -2.2 bps 4.275%

Commodities

Gold prices rose on Monday on a weaker dollar and a drop in inflation concerns due to lower crude oil prices.

Crude oil fell on hopes that President Trump would not order fresh attacks on Iran as long as talks to end the war progressed after his statement on Sunday, although there were reports that ships had been hit near the Strait of Hormuz.

• Spot Gold $4,111.80/oz +1.39%
• Spot Silver $53.40/oz +2.94%
• WTI crude $86.85/barrel -4.38%
• Brent Crude $92.57/barrel -5.75%

Corporate Earnings Today

Companies reporting on Tuesday, 10th November:

Key data to move markets today

US CPI will be the key focus today as investors await further commentary on the trajectory of rate rises given strong US labour market numbers and solid GDP growth.

• Eurogroup meeting and speeches by Dutch Central Bank Governor Olaf Sleijpen, ECB Vice President Luis de Guindos, ECB Executive Board member Piero Cipollone, Chief Economist Philip Lane and Bank of Spain Governor José Luis Escrivá
• BRC Like-for-Like Retail Sales and speeches by BoE Deputy Governor for Financial Stability Sarah Breeden, BoE Deputy Governor Clare Lombardell and BoE Chief Economist Huw Pill
• ADP Employment Change 4-week Average, CPI and speeches by Fed Governors Christopher Waller and Michelle Bowman and Philadelphia Fed President Anna Paulson
• Exports, Imports and Trade Balance