Global stocks are poised for their biggest weekly slump in seven months on concerns over lofty valuations and whether AI investments will pay off. Bitcoin is heading for its biggest monthly drop in three years. | Yields on Treasuries fell as September jobs data — delayed by the federal government shutdown — showed the unemployment rate inched up to 4.4%, the highest in nearly four years, even as job growth increased. Traders added to wagers that the Federal Reserve will cut rates next month, but swap contracts still implied only a roughly 33% chance of a quarter-point cut. | Asian stocks slipped, led by South Korea and Japan, amid concerns about an AI bubble. The MSCI All Country World Index is set for the worst week since April. European equity futures also dropped, while US contracts are largely steady after cash indexes ended lower Thursday. | Japan unveiled the largest round of extra spending since the pandemic. Meanwhile, Finance Minister Katayama issued a strong warning over recent movements in the yen, mentioning intervention as an option to stem falls in the currency. The yen gained against the dollar. | The cryptocurrency market extended a relentless retreat with Bitcoin dropping as much as 5% to below $86,000 for the first time since April. Options traders are eyeing $85,000 now, a level receiving the highest demand for downside protection, with $82,000 the next-most popular, according to options contracts on Coinbase-owned crypto exchange Deribit.
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