Yesterday I wrote that a core CPI reading above 0.3% would stall the rebound, and core came in at exactly 0.3%. The damage was smaller than feared. The S&P 500 gave back only about 17% of Monday's gain, and six of 11 sectors rose. Financials, energy and health care held up while losses concentrated in technology (-1.14%). In other words, Nvidia, more than rates, pulled the index down. Nvidia fell 5.47% and its RSI hit the most oversold level since 2019, yet fellow chipmakers Broadcom and AMD gained 3.91% and 1.30%. The market is discounting Nvidia-specific governance risk, not the chip cycle. The bigger burden is rates: Governor Waller floated a 50bp December hike and the 10-year topped 5% intraday, which keeps pressure on growth-stock valuations. Until Friday's PPI and next week's Nvidia earnings, staying defensive beats chasing the rebound.
📊 Top Movers
🧭 Sector Performance
🇰🇷 Korean Investor Perspective
South Korea's KOSPI jumped 220.28 points (4.39%) to 5,239.13 on November 10, riding the prior night's US chip rebound. Foreign investors turned net buyers for the first time in eight sessions with 358.6 billion won, while Samsung Electronics rose 4.74% to 198,900 won and SK hynix 6.69% to 1,212,000 won. Overnight in New York, though, Micron fell 1.10% and Nvidia 5.47%, so memory stocks may face profit-taking on Wednesday. USD/KRW rose 2.51 won on Yahoo quotes, a slightly weaker won that trims losses in won terms: for unhedged Korean holders, the S&P 500's 0.38% drop becomes about 0.2% and the Nasdaq's 0.74% about 0.55%. Popular US ETFs QQQ, SPY and the 3x-leveraged TQQQ fell 0.68%, 0.35% and 1.77%.
📊 Market Overview
A hotter-than-expected October consumer price index (CPI) and a sharp drop in Nvidia pushed all three major US indexes lower on Tuesday, November 10, reversing Monday's rally. The S&P 500 fell 29.01 points (-0.38%) to 7,520.93, the Nasdaq Composite fell 187.27 points (-0.74%) to 25,065.88, and the Dow Jones Industrial Average fell 157.86 points (-0.30%) to 52,231.89.
Coming right after Monday, when the S&P 500 rose 2.35% for its best day since April, the decline was modest. The S&P 500 gave back about 17% of the prior day's gain and the Nasdaq about 28%. Intraday, the S&P 500 was down as much as 0.9% and the Nasdaq 1.4% before losses narrowed in the afternoon.
The nature of the drop was clear. Six of 11 sectors rose and only technology fell more than 1%. The main culprit was Nvidia, a heavyweight in the indexes, against a backdrop of rising rate-hike worries.
🔑 Key Issues
1. October CPI beats estimates; core at 0.3% makes a December hike all but certain October CPI rose 0.4% month over month, above the 0.3% estimate (September: 0.6%). Core CPI, which excludes volatile food and energy, rose 0.3% versus 0.2% expected. Year-over-year figures were not published because of the government shutdown. CNBC said markets now see a December hike as a "near certainty," with some chance of a larger move priced in. Fed Governor Christopher Waller said in a London speech that a 50 basis point hike should be considered at the December meeting and that a 25 basis point move alone could put the Fed's credibility at risk. Dallas Fed President Lorie Logan expects two more quarter-point hikes followed by a pause. According to The Private Banker, odds of a 50bp move rose to about 15% from zero the day before.
2. 10-year Treasury yield tops 5% intraday; homebuilders slide The 10-year Treasury yield rose above 5.00% intraday for the first time since earlier this month and closed near 4.98% on Yahoo data, up almost 12 basis points from around 4.88% the day before. Rate-sensitive homebuilders took the hit: per The Private Banker, Lennar fell 4.4%, Builders FirstSource 3.9%, D.R. Horton 3.6% and PulteGroup 3.5% intraday. Higher rates also weighed on non-yielding gold, which fell 1.86% to $4,038.10 an ounce, close to the $4,000 mark.
3. Nvidia plunges 5.47% as board opens independent probe; market value dips below $4 trillion Nvidia fell 5.47% to $168.89, down about 10% over two days. CNBC reported it dropped nearly 7% to around $165.94 intraday, briefly pushing its market value below $4 trillion. Nvidia's board said it is opening an independent board investigation into reports that CEO Jensen Huang was the target of a "foreign intelligence effort." In an email to staff, Huang admitted personal wrongdoing and apologized for falling short of his responsibilities as CEO. The Information also reported that at least $7.5 billion of Nvidia hardware reached Chinese companies through a network of intermediaries, adding export-control concerns. Patrick Moorhead, CEO of Moor Insights & Strategy, said he had not seen a chip CEO with this much direct influence on export policy in 35 years. Yahoo Finance said Nvidia's intraday RSI hit 23, the most oversold since June 2019.
4. A split within chips: Goldman calls them "clearly oversold," Broadcom rises 3.9% On the day Nvidia slumped, Broadcom rose 3.91% to $331.98 for a second straight gain, and AMD (+1.30%) and Qualcomm (+1.20%) also advanced. Goldman Sachs analyst James Schneider said chip stocks are clearly in oversold territory and named Nvidia, Broadcom and AMD as his top picks. The market bought those names except Nvidia. Arm (-2.58%), Intel (-2.09%) and Micron (-1.10%) fell. Company-specific issues, not the industry cycle, are driving prices.
5. Software weakness: Microsoft falls 2.2% after Anthropic's workplace tools Microsoft fell 2.20% to $533.16. CNBC said Microsoft dropped 3% midday after Anthropic announced Claude-based workplace tools that could compete with Office. ServiceNow (-3.08%), Oracle (-1.53%) and Salesforce (-0.68%) were also weak. In an updated IPO filing, Anthropic set an offering of 825 million shares at $70–78 each, with a fully diluted valuation of up to about $1.4 trillion. Amazon, by contrast, rose 1.48%, and UnitedHealth (+1.87%) and Eli Lilly (+1.49%) played a defensive role in health care.
📊 Sector Performance
| Sector | Change | Key Drivers |
|---|---|---|
| Financials | +0.50% | Higher rates lift net interest margin hopes; Goldman Sachs +0.45% |
| Energy | +0.46% | ConocoPhillips +0.86%, recovering part of Monday's loss |
| Communication Services | +0.35% | Meta flat, Alphabet -0.27% |
| Health Care | +0.31% | UnitedHealth +1.87%, Eli Lilly +1.49% |
| Consumer Staples | +0.17% | Coca-Cola +0.91%, P&G +0.18% |
| Consumer Discretionary | +0.04% | Amazon +1.48% offset homebuilder weakness |
| Industrials | -0.08% | Caterpillar -2.40% on profit-taking after Monday's surge |
| Real Estate | -0.11% | Pressured by the 10-year near 5% |
| Utilities | -0.14% | Rate-sensitive sector weakness |
| Materials | -0.17% | Lower gold prices |
| Technology | -1.14% | Nvidia -5.47%, Microsoft -2.20% |
Monday's ranking, led by industrials and technology, flipped in a day, with financials, energy and health care moving to the top. Money rotated toward financials, which tend to benefit from higher rates, and defensive sectors.
🌍 Global Markets
- Europe STOXX 600: Rose 0.27% to 658.32, extending gains for a second day ahead of the US CPI release.
- Dollar Index (DXY): Rose 0.60% to 102.26 as rate-hike expectations strengthened the dollar.
- 10-Year US Treasury Yield: Closed near 4.98%, up almost 12 basis points, after topping 5.00% intraday.
- WTI Crude: Fell 0.56% to $86.36 a barrel. Brent briefly dipped below $90.
- Gold: Fell 1.86% to $4,038.10 an ounce as rates and the dollar rose together. Bitcoin also slipped below $73,000.
🚀 SPCX (SpaceX) Update
SPCX rose 0.72% to $143.09, its third straight gain. It held up on a day when tech stocks wobbled, though no new company announcement was confirmed. The move appears to extend the space-stock rally that followed NASA's selection of Moon Base transportation providers last week.
The gain was much smaller than Monday's 5.81%, however. SPCX remains below its IPO price, so whether contract hopes alone can lift it back above that level needs to be confirmed by further gains on solid volume.
⚠️ Investor Cautions
Rate pressure is building again. With core CPI holding around 0.3% for three months, markets now treat a December hike as all but certain, and some Fed officials have started talking about 50bp. When the 10-year yield is above 5%, highly valued tech and growth stocks come under repeated pressure. If Friday's PPI again beats its +0.4% estimate, this week's rebound could be erased entirely.
Nvidia is now exposed to governance risk unrelated to fundamentals. Depending on the board probe's findings, congressional reaction and any export-control violations, the stock could swing sharply regardless of earnings. Rather than buying the dip on oversold readings alone, it is safer to wait for the November 17 earnings and follow-up reports on the probe. Leveraged ETFs are hit even harder by single-stock shocks like this.
👁 What to Watch Tomorrow
- Reaction to CoreWeave earnings: Third-quarter revenue reported after the close was about $3.66 billion, above the $3.54 billion estimate. Backlog was about $132.5 billion, and 2026 revenue guidance was raised to $13.0–13.3 billion. According to 24/7 Wall St., shares initially rose around 6% after hours. If the market reads this as proof AI infrastructure demand is intact, it could help Nvidia and chips broadly.
- Nvidia at $165: The intraday low near $165.94 is short-term support. Failing to hold it would extend its lowest closes since late March. Watch whether it quickly reclaims $170 on CoreWeave's strong results.
- S&P 500 in a 7,450–7,600 range: If the S&P 500, which closed at 7,520.93, holds 7,450, Monday's rebound remains intact. A break below 7,450 raises the odds of retesting last week's low.
- Whether the 10-year settles above 5%: A close above 5% would be a turning point for growth-stock sentiment. With no major data on Wednesday, Fed speakers are likely to move rates.
- Cisco and Applied Materials earnings on Thursday: A chance to gauge demand for networking and chip equipment. Applied Materials is expected to earn $4.06 per share.
💡 Upcoming Events
- November 12 (Thu): Nebius (pre-market), Cisco and Applied Materials (after the close) earnings, initial jobless claims (estimate 195K), existing home sales
- November 13 (Fri): October PPI (estimate +0.4% MoM, core +0.3%)
- November 17 (Tue): Nvidia earnings, October retail sales (date to be confirmed)
- November 19–20: Expected Anthropic listing (per WSJ)
- December 9 (Wed): December FOMC rate decision, Broadcom earnings
📚 Sources
- Stock market today: Dow, S&P 500, Nasdaq slip as hot CPI fuels rate hike odds, Nvidia stock sinks — Yahoo Finance
- S&P 500 falls, dragged down by Nvidia sell-off and rate-hike fears after hot inflation data: Live updates — CNBC
- Wall Street Gives Back Part of Monday's Rally as 10-Year Yield Tops 5% and Nvidia Sheds More Than 6% — The Private Banker
- CoreWeave Q3 earnings show $3.66B in revenue — StockTitan
- Live: Can CoreWeave's Q3 Earnings Tonight Spark a Recovery After 42% Selloff? — 24/7 Wall St.
- Goldman Sachs calls stocks 'oversold.' Here are the names it says to buy — AOL
- Nvidia (NVDA) Stock Forecast & Analyst Price Targets — TipRanks
- The Week Ahead: October CPI and PPI Due as CoreWeave, Cisco and Applied Materials Report Earnings — TradingKey
- The Week Ahead: CPI and Tech Earnings Test a Fragile Stock Market — FXEmpire
- Fear and Greed Index — Fear & Greed Meter
- KOSPI jumps over 4% to close above 5,200 on chip rally; foreigners net buyers for first time in 8 sessions — Seoul Finance
- "Chip selloff was overdone": Samsung and SK hynix lead KOSPI back above 5,230 — Seoul Shinmun