Democrat Sweep Rocks AI Stocks as Earnings Day Piles Up

Election Shockwave Hits Semiconductors

A Democratic midterm sweep has sent options traders rushing for cover in AI and chip stocks. Around $3 trillion was erased from US equities in the initial reaction. NVDA has fallen to an RSI of 34.5, edging into oversold territory. ORTEX data shows bearish options flow running at its heaviest level this week across NVDA, AMD and INTC. Markets are pricing in a harder Democratic line on data centre buildout and AI infrastructure spending. Put volumes on near-term November expiries are the busiest. Separately, reports indicate Elon Musk has received overseas interest in his AI and data centre plans following the Texas results.

Auto Sector Under the Microscope

Honda Motor reports today alongside Japanese peers Mitsubishi Motors and Mazda. ORTEX Alt Data shows Japanese car sales running 6% above the same quarter last year, a dataset that leads Honda revenue by 65 days with a strong historical fit. Mazda faces a more mixed picture: German car registrations are up 32% year on year, but Dutch registrations are running 5% below the same period. Humana also reports this morning, with Medicare Advantage penetration at a record 51.1% in July 2026, the highest reading since 2013.

Europe: Recordati Deal Window Opens

CVC Capital Partners' tender for Italian pharma group Recordati opened today and runs to 30 November. The deal carries a 93% completion probability. If it closes, ORTEX Index Rebalance Radar forecasts a FTSE MIB deletion announcement on 9 November, with $220M of forced selling representing 10.5 days of normal volume. The MSCI World November review announces on Tuesday. Flutter Entertainment faces a 78% deletion probability, with $734M of potential selling.

Nuclear Output Drops Sharply

ORTEX Alt Data flagged extreme outage signals overnight. Duke Energy reactor output hit 10 standard deviations below its own history on 5 November. NextEra Energy showed the same severity of drop. Both readings come from US Nuclear Regulatory Commission data.