Declines in tech and crypto sectors close out a turbulent October

October has proven turbulent for markets, particularly impacting the tech and crypto sectors. A government shutdown along with fears surrounding substantial AI spending in technology companies have unsettled investors. The month culminated in notable declines, with tech-heavy indices like the Nasdaq and S&P 500 posting losses. Meta’s stock experienced a significant drop of 11.3%, its largest in three years, exacerbating worries about ongoing AI investments. Amid these troubles, the Federal Reserve's cautious stance has also contributed to market instability, with reduced expectations for a rate cut by December. On the crypto front, all major sectors ended the month lower, with specific areas such as L2 and Launchpad seeing declines of nearly 9%. The Launchpad sector faced considerable setbacks due to major components like Pump suffering severe losses after prior gains. Conversely, gold showed resilience, gaining 1.96% as investors sought refuge in safe-haven assets during these volatile times. As we look ahead, maintaining patience and clarity will be crucial for navigating future market opportunities.

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