The Week That Was, The Week Ahead: Macro & Markets, November 9, 2025

Everything to Know about Macro and Markets

Markets ended the volatile week in the red. The Dow Jones Industrial Average (DJIA) was down 1.21%, the S&P 500 (SPX) fell 1.63%, and the large-cap tech benchmark Nasdaq-100 (NDX) tumbled 3.09%, its worst week since April.

Is AI Too Big To Fail?

Last week was a difficult one for the broad stock markets and brutal for tech stocks, as concerns over an “AI bubble” resurfaced with a vengeance. With the “Magnificent Seven” now making up 36% of the S&P 500’s market cap, any sign of trouble within the pack weighs heavily on the rest.

For weeks, Wall Street CEOs have been warning about too-hot valuations in the AI theme, saying a correction is imminent and would be healthy. What drove this message in seems to be a $1.1 billion short bet by Michael Burry – known for his shorting the market before the 2007 mortgage crisis – against Nvidia (NVDA) and Palantir (PLTR), with most of his bearishness dedicated to the latter firm. Burry’s fund, Scion Asset Management, simultaneously revealed large long bets on Pfizer (PFE) and Halliburton (HAL) – two “old economy” large caps trading at depressed valuations.     

Eight leading AI trades – including Nvidia, Meta (META), Palantir, and others – lost nearly $1 trillion dollars in combined market cap over the last week. Still, these behemoths together wield capitalization of $23 trillion, nearing the size of the U.S. GDP. Their monstrous AI capex is already beginning to move the needle on the economy, and despite the real, palpable value of the underlying tech, this setup looks increasingly bubbly. With speculations abundant amid the accelerating importance of technology leaders for the broad economy, the White House stepped in to warn that “there will be no federal bailout for AI,” no matter what.  

November Blues

According to the preliminary UoM survey, U.S. consumer sentiment dropped in November to 50.3 – just above the all-time low of 50.0 set in 2022 – as households are getting increasingly worried that the government shutdown that’s been dragging on for over a month will negatively impact the economy.

While the official data is still absent due to the said shutdown, private reports support these concerns. According to data provided by Challenger, last month was the most layoff-heavy October in over 20 years. Tech companies like Amazon (AMZN) and Meta are slashing their workforce en masse to reroute funds into AI investments, while firms in other industries – including UPS (UPS), Target (TGT), and others – reevaluate spending routes amid rising costs and demand uncertainties.

Still, the hit to employment and the falling consumer confidence threatening to depress spending raised bets on another rate cut at the Federal Reserve’s next meeting in December. That led to Friday’s upward reversal, with the S&P 500 inching into positive territory by market close. However, November – statistically known as the best month for stocks – has started out on the wrong foot.       

Stocks That Made the News

▣ Meta Platforms (META) announced that it plans to invest at least $600 billion in U.S. infrastructure and jobs over the next three years. The massive investment will focus heavily on building new data centers to support the company’s AI projects.

▣ Tesla (TSLA) shareholders approved CEO Elon Musk’s $1 trillion option award tied to market cap gains and operational milestones over the next decade. The first tranche of stock gets paid out if Tesla hits a market capitalization of $2 trillion (versus about $1.5 trillion today), while the full package would depend on the valuation of the company reaching $8.5 trillion. Each tranche is also tied to operational conditions, such as annual earnings, vehicle and Optimus humanoid robot deliveries, and the number of robotaxis in commercial operation.

▣ Oracle’s (ORCL) data center campus in New Mexico, built under Stargate Project, has been granted an $18 billion project finance loan from a consortium of 20 banks, led by Sumitomo Mitsui Banking (SMFG), BNP Paribas (BNP), Goldman Sachs (GS), and Mitsubishi UFJ (MUFG). This deal is one of the largest recent debt financings in the tech sector and reflects the massive capital requirements for building AI infrastructure.

▣ Eli Lilly (LLY) and Novo Nordisk (NVO) reached a deal with the White House to lower prices for certain GLP-1 anti-obesity drugs, while also broadening Medicare access to them starting in 2026. In return, the pharma giants will get tariff breaks for imported pharma products and faster regulatory reviews for some of their medicines. 

Upcoming Earnings and Dividend Announcements

The Q3 earnings season is well past its peak, but some notable releases are still scheduled for the coming days. These include Occidental Petroleum (OXY), Barrick Mining (B), AST SpaceMobile (ASTS), Nebius Group (NBIS), Oklo Inc (OKLO), Cisco Systems (CSCO), CoreWeave (CRWV), Walt Disney (DIS), Applied Materials (AMAT), and Ross Stores (ROST).

Ex-dividend dates are coming this week for Blue Owl Capital (OWL), American Electric Power (AEP), IBM (IBM), Target (TGT), Kenvue (KVUE), Visa (V), Coterra Energy (CTRA), Truist Financial (TFC), Starbucks (SBUX), Booz Allen (BAH), and other dividend-paying firms.   

For additional exclusive market insights and content from TipRanks Macro & Markets research analyst Yulia Vaiman, click here.