European equities advanced on Tuesday, Nov. 10, extending a recovery that gathered pace on Wall Street as investors returned to technology shares after last week’s sharp losses. The Dow rose 1,100 points on Monday and the Nasdaq gained more than 2%, with buying at lower prices helping reverse the retreat. Falling oil prices supported sentiment, although questions about artificial intelligence investment continued to temper the recovery.

Shortly after European trading began, the FTSE 100 was up 0.20% and the DAX advanced 1.14%. The increases followed gains in Europe on Monday and a strong session in Asia on Tuesday. US stock futures also moved higher, while investors looked ahead to October US inflation figures for further evidence on price pressures amid a decline in energy markets.

Amazon, Microsoft and Apple were among the prominent gainers in New York on Monday as investors bought technology stocks following the previous week’s turbulence. The earlier selling had followed the Democratic sweep of Congress, which raised concerns about regulation among investors in AI-related businesses. The rebound suggested those concerns were no longer preventing purchases, but it did not resolve the separate question of whether the sector’s extensive investment would generate sufficient profits.

Read more: Stocks fall as October consumer prices rise 0.4%

Asian markets reflected the renewed appetite for chipmakers and other businesses connected to AI. Taiwan’s Taiex rose 2.5%, while South Korea’s Kospi gained 4.5%, supported by SK hynix and Samsung. Japan’s Nikkei 225 finished 2.9% higher as Kioxia and Tokyo Electron rallied.9% before its earnings release later in the day, recovering after its shares had reached their lowest level in a year on Monday.

Company revenue figures provided evidence of continued demand alongside the share-price recovery. Taiwan Semiconductor Manufacturing Co., which produces chips used in AI systems, said its October revenue increased 59.7% from a year earlier. That result offered a measure of activity among suppliers to the AI industry, even as investors questioned the economics of the spending behind it. The distinction between strong supplier sales and returns for the companies financing infrastructure remained central to the debate.

Stephen Innes of SPI Asset Management offered a more cautious interpretation of the rally, arguing that it reflected a retreat by sellers rather than a broad restoration of buyers’ confidence. He said businesses benefiting from large capital-spending programmes had outperformed those funding them for a second consecutive session. Equipment makers, optical networking businesses and some data-centre suppliers could continue to gain from spending already committed, he argued, even as investors scrutinised the returns available to the companies paying for those projects.

Read more: Spot gold slips 0.6% as focus shifts to U.S. inflation data

Russ Mould, investment director at AJ Bell, also highlighted the speed of the change in sentiment, contrasting the latest gains with signs of investor anxiety less than a week earlier. His assessment underscored the gap between improving share prices and the concerns that had driven the sell-off. Confidence in the AI outlook helped support purchases, but the rapid reversal coexisted with continuing doubts about profitability and the scale of commitments to new infrastructure.

Beyond technology, UniCredit reported third-quarter net profit of 3.3 billion euros ($3. Revenue reached 6.9 billion euros, a 12% year-on-year increase. China’s customs data, meanwhile, showed October exports rising 35.2% from a year earlier and imports increasing 41.6%. The trade surplus for the first 10 months of 2026 exceeded $1 trillion (€893bn), putting the country on course for another annual record.

Energy markets supplied another important element of the more favourable trading backdrop. Both main oil contracts fell more than 2.5% by 10:30 CET on Tuesday, adding to Monday’s declines, when Brent lost almost 6%. Brent traded at around $90 a barrel and WTI at about $84. Both benchmarks have fallen around 20% this month as traders positioned for a possible end to the Iran war, which has lasted more than eight months.

President Donald Trump said on Monday, after meeting Qatar’s prime minister at the White House, that efforts to end the war were progressing. He considered further strikes unlikely but did not rule them out. The conflict has driven inflation higher and prompted central banks to increase interest rates. Mould said an end to the war could, in principle, ease energy costs and provide relief for households and businesses, explaining why diplomatic prospects mattered to the wider market recovery.

Attention now turns to the October US inflation data and SoftBank’s earnings, with investors weighing the technology rebound against unresolved questions about spending and returns. The retreat in oil offers a more favourable energy-cost backdrop, but remains tied to expectations for an agreement rather than a completed resolution of the war. For equities, the latest gains show renewed willingness to buy after the sell-off, alongside continued scrutiny of the businesses financing the AI expansion.