The regional Stoxx Technology index was 3.2% lower, tracking losses on Wall Street the previous day that saw Big Tech stocks battered in a broad sell off<\/a>. It comes amid mounting concerns about AI valuations, with Wall Street’s tech-heavy Nasdaq Composite<\/a> shedding 2.3% by the closing bell in Thursday’s session. On Friday morning<\/a>, tech stocks including AI darling Nvidia<\/a> fell in premarket trade.<\/p>\n In Europe, Infineon<\/a>, down 5.7%, SAP<\/a>, down 4.4%, and BE Semiconductor<\/a>, down 3.9%, were among the worst performing tech stocks in early afernoon trade.<\/p>\n SAP announced<\/a> Friday that it will offer concessions to settle an EU antitrust probe. European lawmakers were investigating the German firm’s management of its flagship Enterprise Resource Planning software.<\/p>\n Elsewhere, Danish weight-loss drugmaker Novo Nordisk shed 2.7% from its share price as investors look ahead to the firm’s Extraordinary General Meeting<\/a> on Friday, where shareholders<\/a> will vote on proposals for a board revamp.<\/p>\n Investor attention is also focused on the global economy.<\/p>\n China’s economic slowdown ramped up in October<\/a>, with data showing fixed asset investment \u2013 which includes the country’s closely watched real estate sector \u2013 contracted in the first 10 months of the year. Retail sales softened, meanwhile, and industrial output growth also slowed.<\/p>\n Comments from Federal Reserve officials in recent weeks have prompted money markets to reconsider the likelihood of a December rate cut<\/a> from the central bank. By Friday morning, markets were pricing in a 52.1% chance of the Fed cutting by 25 basis points at its next meeting. A month ago, the market had assigned a 95% probability to an end of year cut.<\/p>\n Gilts sell off, sterling falls<\/p>\n Back in Europe, yields on U.K. government bonds \u2014 known as gilts \u2014 spiked on Friday<\/a>, amid reports that the Labour government was U-turning on an income tax raid that had been planned as part of the looming Autumn Budget.<\/p>\n Bond prices and yields move in opposite directions, meaning a spike in yields represents a sell off of the assets.<\/p>\n The yield on the benchmark 10-year gilt<\/a> was last seen 8 basis points higher, to 4.52%, climbing down from an earlier spike that saw yields rise by as much as 13 basis points at the longer end of the maturity curve. Yields on the long term 20-<\/a> and 30-year gilts<\/a> rose by over 9 basis points each.<\/p>\n Stock Chart IconStock chart icon UK 10 year gilt<\/p>\n Meanwhile, the British pound fell as markets reacted to the reports. Sterling was last seen trading lower against both the U.S. dollar<\/a> and the euro<\/a>, down over 0.4% and 0.2%, respectively.<\/p>\n Earnings in focus<\/p>\n Corporate earnings also continue to hold the spotlight in Europe, with German insurer Allianz<\/a> among the companies reporting on Friday.<\/p>\n Allianz said it had achieved record results in the first nine months of the year, bolstered by double-digit growth in operating profit in the third quarter. Operating profit for the three months to September jumped 12.6% to 4.4 billion euros ($5.1 billion), largely driven by the firm’s Property-Casualty division.<\/p>\n The company said it expects to achieve an operating profit of at least 17 billion euros this year, which sits in the upper end of its full-year guidance range. \u00a0<\/p>\n Allianz shares were last seen trading around 1.8% higher.<\/p>\n Meanwhile, Richemont<\/a> shares jumped 3.6%, paring earlier gains, after the Cartier-owner reported a 14% jump in fiscal second-quarter sales at constant exchange rates.<\/p>\n China, Hong Kong and Macau sales returned to growth in the period, the company said, in another sign of a broader recovery for the luxury sector after sales suffered amid weak demand from Chinese consumers. Peers LVMH<\/a> and Burberry<\/a> also posted\u00a0strong results<\/a>\u00a0this earnings season.<\/p>\n![\"hide](\"https:\/\/static-redesign.cnbcfm.com\/dist\/a54b41835a8b60db28c2.svg\")
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