The Nasdaq index plunged by 631 points to 25,202 during trading last Friday. This marked the largest daily drop since November 20 and brought the index to its lowest point in two weeks.
The decline in the Nasdaq persisted into the early trading of the Asian session on Monday (December 15, 2025), dipping to 25,132. The index faced pressure as investors rotated their sectors in the U.S. stock market. There was a noticeable exit from stocks associated with artificial intelligence (AI), which had surged earlier in the year, and a shift towards cyclical stocks that are more responsive to economic changes. This comes amid expectations of an economic recovery in the U.S. following the Federal Reserve’s interest rate cut and the initiation of an asset purchasing program (quantitative easing or QE).
Additionally, worries about a potential AI bubble have been looming over U.S. stock indices as the year comes to a close. Last week, Oracle reported revenue of $16.06 billion for the three months ending November 30, falling short of Wall Street’s expectation of $16.21 billion. This revenue miss signals that growth may not be as robust as the market had anticipated, especially in light of the massive investments in the AI sector.
On another note, Gold prices saw a dramatic spike last Friday, reaching $4,353 per troy ounce, coming close to its all-time high before experiencing 獲利了結 and settling the trading session at $4,299.91 per troy ounce.
The price of Gold received a boost as the Federal Reserve lowered interest rates by 25 basis points to a range of 3.5%-3.75% and unveiled a QE program amounting to $40 billion. Historically, QE implemented by the Fed tends to drive Gold prices higher, particularly since the 2008 global financial crisis.
