European Stock Markets: Tech Shares Slide After AI Spending Concerns
European stock markets closed lower as technology shares declined following corporate earnings that highlighted rising artificial intelligence investment costs. Chipmakers led the losses after investors reacted cautiously to increased capital spending plans despite strong demand for AI services.
The STOXX Europe 600 index weakened, while companies in defensive sectors such as healthcare and utilities outperformed. Investors also assessed the European Central Bank’s decision to leave interest rates unchanged while keeping the door open to additional tightening if inflation remains elevated.
Market participants are now turning their attention to upcoming corporate earnings and economic data for clues on the outlook for European growth, inflation, and monetary policy.
