European markets fell sharply on Thursday, dragged down by steep losses in technology and industrial stocks. The decline was part of a global equity rout that began in Asia after hotter-than-expected U.S. inflation data. [2, 10, 12]
The inflation figures fueled fears that interest rates would stay higher for longer, dampening appetite for growth-sensitive stocks. [1, 5]
Semiconductor stocks fell particularly sharply as investors reassessed high valuations in the artificial intelligence sector. [3, 5] Chip equipment maker ASML Holding fell more than 6%. [3, 12] Infineon Technologies dropped approximately 9%. STMicroelectronics fell approximately 7%. [3, 12]
Major industrial firms, including Siemens, Schneider Electric, and ABB, also posted considerable losses. [3]