Market Report for Tuesday, November 4, 2025
Stocks grew weary of the penthouse view on Tuesday and took the down escalator to a lounge just below the Louis Roederer floor. Among the relocators were Wall Street CEOs, muttering into their martinis about overvaluation.
Level Change 11/4/25 (%)
– – – – – – – – – – – – – – –
-0.5 Dow
-2.0 Nasdaq
-2.1 Nasdaq 100
-1.2 S&P 500
-0.9 S&P 400
-1.2 S&P 600
It was Hong Kong’s fault, apparently. Never trust a city with that many luxury malls. All the mirrored glass breeds reflection.
Specifically, blame the Hong Kong Monetary Authority. That’s the outfit that corralled CEOs from the likes of Capital Group, Citadel, Goldman, and Morgan Stanley for a summit where they couldn’t stop saying the one thing you’re not supposed to say out loud: stocks might be a little pricey.
Capital Group’s Mike Gitlin sounded like a man describing the weather at his own wedding, calling valuations “challenging,” somewhere “between fair and full.” No one would call them cheap, he added, these champagne prices for gas-station snack fundamentals.
But stop worrying, advised Morgan Stanley’s Ted Pick, and learn to love falling stocks. Investors should “welcome the possibility that there would be 10 to 15% drawdowns that are not driven by some sort of macro-cliff effect.” They’re “a healthy development,” a sort of bonding exercise. So rejoice in the purge. It builds character. Also margin calls, but that’s a January problem.
You bet, added Citadel CEO Ken Griffin, offering the timeless wisdom that markets become irrational at extremes. And right now? We are, per Griffin, “very deep into a bull market,” where optimism turns evangelical and price-to-sales ratios are judged not by numbers but by vibes. Don’t be surprised if your AI basket starts acting like a piñata at a toddler-birthday on espresso shots.
Speaking of AI piñatas: enter Michael Burry, Wall Street’s resident Cassandra in orthopedic sneakers. Yes, that Michael Burry, the one Christian Bale played in The Big Short.
His firm, Scion, bought puts on Nvidia (NVDA -4%) and Palantir (PLTR -7.9%). If the man who shorted housing before 2008 is sharpening his axe again, the least we can do is stop pretending we understand transformer neural architectures beyond quoting Wired.
Predictably, dip-buyers — that merry band of dopamine enthusiasts — are mobilizing like pigeons spotting a dropped croissant.
As well they should. With China out of the way for a beat or two, corporate buybacks rolling along, solid Q3 earnings, and seasonality whispering sweet nothings like historically … November good, bulls say Black Friday just showed up early on Wall Street. Brawl like it’s a Midwestern mall.
Goldman’s David Solomon put it neatly: “Things run and then they pull back so people can reassess.” But my Latin professor put it memorably: Et post euphoria, dolor capitis.
Well, darn. Apparently trees don’t grow to the sky. The Forestry Department regrets the confusion.
— Jason Kelly
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