Daily Briefing · 2026-11-07

equities staged a modest rebound after a $3.2 trillion selloff tied to AI concerns, though the recovery was weaker than typical post-crash bounces. Semiconductor stocks led that rebound, with Nvidia, Micron and SanDisk climbing as analysts described the AI selloff as stabilizing, even though chip valuations remain near multi-year lows. Allegations involving Nvidia CEO Jensen Huang and a Chinese intelligence operative are raising corporate governance and national security concerns that could affect the company's government ties and regulatory approvals. Anthropic's roughly $1.5 trillion IPO is facing headwinds, with concerns that the tech selloff could delay the offering or pressure its valuation. Berkshire Hathaway bought back $9.6 billion in shares under new CEO Greg Abel, a move aimed at reducing outstanding shares and boosting earnings per share, even as the conglomerate became a net seller of stock. U.S. employers added 165,000 jobs in October, beating forecasts and pushing unemployment down to 4.1%, signaling continued labor market resilience. The U.S. warned China that failing to immediately meet Busan trade deal commitments on rare earths and critical products could escalate trade tensions and raise costs for U.S. manufacturers. Tesla will discontinue Cybertruck production, with the company citing insufficient demand for the vehicle. One view is that a Democratic Congress will seek legislative avenues to support Ukraine despite Trump's control of foreign policy, risking friction over military aid allocation. There is also a view that Trump's electoral setback could reduce U.S. involvement in the Middle East, potentially opening space for China and regional rivals. Voters in the 2026 midterms prioritized economic concerns over political scandals, punishing parties for inflation and high prices despite serious governance failures. Debate is growing over whether rigid smart trading rules serve investors better than disciplined fundamental analysis, as such rules often prioritize short-term volatility management over long-term value creation.