AI Trade Under Scrutiny as Boeing Slides and European Banks Report

US markets weigh AI-bubble warnings against renewed enthusiasm for AI stocks, while Boeing falls and JetBlue jumps. European lenders and industrials report third-quarter results, and oil trades near $100.

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US stocks: AI trade under scrutiny

MarketWatch reports that AI-linked shares such as CoreWeave rose after investors read further into Anthropic's IPO filing and saw trends similar to those that supported AI stocks for much of the year (MarketWatch). Sentiment remains mixed: another MarketWatch piece says the AI trade carried the US market in September, while in October the rest of the market is leading Big Tech (MarketWatch). Hedge fund investor Ken Griffin has warned that the AI economy may be overheating, saying it is "almost certainly" in a bubble (Nasdaq).

US companies

Boeing's shares fell sharply after earnings because the company will come up short on 737 Max deliveries, which raises doubts about its turnaround plans (MarketWatch). JetBlue's stock rose nearly 20% after it set a new profit target that eased concerns about its viability (MarketWatch). Seagate reported higher first-quarter fiscal 2027 net income on higher revenue and lifted its dividend (Nasdaq). Retail traders bought the dip in chip stocks, while Robinhood was hurt by the crypto market, according to MarketWatch (MarketWatch).

Energy and the consumer

Energy remains a political and economic theme in the US. MarketWatch notes that the Iran war has boosted US energy companies' fortunes while consumers face what it describes as the most expensive year ever for gasoline, ahead of next week's midterm elections (MarketWatch). The BBC says the economy is President Trump's biggest problem going into the midterms (BBC). Investing.com's technical commentary describes WTI crude consolidating in a $98.50-$103.50 range (Investing.com) and Brent stalling after a rejection at $117.45 (Investing.com).

Europe: bank and industrial earnings

Several large European companies reported third-quarter results. Santander's underlying profit rose 19% to 3.8 billion euros and it reiterated its 2026 targets (Nasdaq). Deutsche Bank reported higher profit and revenue and confirmed its 2026 outlook (Nasdaq). BASF's net income fell to 155 million euros from 172 million a year earlier, and it updated its 2026 guidance (Nasdaq). Equinor returned to a profit and will begin a fourth buy-back tranche of up to $1.125 billion (Nasdaq). On the macro side, German consumer sentiment slipped on inflation fears, per a survey reported by Investing.com (Investing.com), and the ECB published its October euro area bank lending survey (ECB).

China

The BBC reports that families in China are now supporting more elderly people than children, a milestone as Beijing grapples with an ageing population (BBC).

Sources