EU market opening and PDD on the radar

European equities are under pressure as the global technology selloff extends into a second session. Concerns about AI-related capital expenditure, semiconductor demand and regulatory risks are weighing heavily on technology stocks, while rising oil prices add another layer of uncertainty. With the US jobs report due later today, investors are reassessing valuations, growth expectations and the outlook for interest rates.

The DAX has surged to fresh record highs as investors continue to rotate into banks, industrials and cyclical stocks following the US midterm elections. Falling bond yields, lower oil prices and improving sentiment have supported risk appetite across Europe, helping the index move decisively above 26,000. The focus now shifts from political relief to whether earnings and macroeconomic data can justify the rally's next leg higher.

The DAX briefly reclaimed the 26,000 level as investors used post-election weakness as an opportunity to rotate into industrial, healthcare and energy-transition leaders. Strong gains in Bayer, Siemens and Siemens Energy helped offset weakness in consumer and AI-related growth stocks. With bond yields easing and the dollar weakening after the US midterm elections, investors are increasingly focusing on earnings quality, visible demand and infrastructure-related growth themes.