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Top Overnight News The Nikkei 225 plunged 6%, down 20% from a June peak and entering a technical bear market as investors unwound AI trades. BBG A market rout in October walloped hedge funds, forcing them to unwind positions at the highest rate in years and cut staff. The pain left many nursing deep losses even before the stock selloff intensified Thursday. WSJ Wall Street peers into abyss of AI trade as midterms expose risk; tech stocks wiped out $2.3 trillion in market value in Thursday’s rout. BBG Taiwan imposed a short-selling limit to support its stock market, and its national fund will activate market stabilization measures after the Taiex tumbled as much as 9%. BBG South Korean finance minister said the government will take necessary measures to prevent the stock market from overreacting and materially deviating from fundamentals: Reuters Europe’s diversified stock market has suddenly become one of the most attractive trades around, as global investors seek to shed artificial intelligence exposure. BBG Money market funds drew $140.4b in the week ended Nov. 4 while global stocks had the biggest four-week inflows on record, BofA says citing EPFR. BBG Anthropic’s ARR topped USD 80bln at the end of October, vs some expectations of mid-70bln: WSJ ING was the mystery seller of a roughly $500 million portfolio of data center loans all at once, as the midterms tilt the regulatory map against the AI buildout. BBG October Payrolls Preview: "We estimate nonfarm payrolls rose by 75k in October, somewhat above consensus of +65k and the three-month average of +51k, reflecting the low level of layoffs and a solid signal from big data indicators of job growth. We forecast a 0.3% month-over-month increase in average hourly earnings, in line with consensus, reflecting neutral calendar effects." Goldman Qatar’s Emir spoke with Donald Trump about de-escalating the Iran war, fueling hopes for a resolution. Oil wavered. BBG Iran says ships from China, India, Iraq, and Qatar are able to pass through Hormuz without any restrictions. SCMP Iran claims 2 oil tankers hit mines in the Strait of Hormuz; says tankers were trying to leave the Strait with US help: Fars via BBG The US administration is reviewing plans to resume military operations against Iran: The Hill Kyiv hit a sixth Russian oil plant in a week; Russia’s Yanos refinery halted operations after a Nov. 3 attack. BBG Democrats are eyeing President Trump’s trade war with Canada as the first target in a campaign to roll back his administration’s tariff agenda, according to the party’s senior trade lawmaker in the Senate. WSJ Democrats plan to launch an aggressive wave of investigations against companies that aligned themselves w/Trump, and are “zeroing in on Apple, Meta, and the companies led by Musk.” WaPo Secretary of State Marco Rubio dismissed reports he may leave the Trump administration, telling the NYT that working for the president until the end of this term has “always been my plan.” NYT US President Trump said he was not on the ballot in the midterm elections and claims Republicans would have won in a landslide if he had been: Newsquawk US Secretary of War Hegseth is reportedly not currently being considered for the Tennessee Senate seat: AP Japan’s Sanae Takaichi wants additional proceeds from the BOJ’s accelerated ETF sales to fund investments in sectors critical to economic security. Faster sales may boost annual funding by about $5 billion. BBG BoE’s Bailey: if energy prices remain high, another hike possible; “I don’t agree we have got endemic inflation.” BBG(Consensus expectations: For the next upcoming period 2026Q4 (event date 2026-11-02), consensus expects EPS of 1.9782 and revenue of USD 113.357 billion.)