Live updates: Market nervousness persists as the AI selloff deepens

French bond spreads are blowing out anew on Tuesday, with that country’s 10-year OAT yield rising 3.4 basis points to 4.956% and the German 10-year Bund yield sliding 3 basis points to 3.43%.

This brings the spread between the two core EMU members back to about a cycle high of 153 basis points, the widest level since the continent’s debt crisis in 2011.

ECB member Olli Rehn, testifying Tuesday in Finland’s parliament, conceded that French bond spreads have widened “somewhat.”

“All euro-area countries must bring their public deficits under control and thereby ensure their debt sustainability,” said Rehn. “This goes just as much for France as it does for Finland.”

France’s CAC 40 is leading European stocks lower, down 0.8% today, and off about 12% since peaking two months ago.

Crypto exchange Bitget said it plans to acquire GMO-Z, a licensed cryptocurrency exchange and brokerage based in Bangkok, for an undisclosed amount as it expands in Southeast Asia.

The deal would take place through BTGT Management, a company in which Bitget holds an interest.

GMO Internet, its subsidiary GMO-Z and other shareholders would transfer their entire holdings in the exchange to BTGT Management or its designated entity at completion.

Bitget plans to introduce its trading platform to Thai users once the acquisition closes. The transaction is subject to regulatory approval and other conditions.

Switzerland’s financial regulator, FINMA, said it approved a bitcoin exchange-traded fund (ETF) for the first time.

FINMA did not disclose the issuer of the ETF.

Switzerland was the first jurisdiction to approve cryptocurrency exchange-traded products (ETPs). Regulation preventing ETFs from holding only a single asset meant such funds could not be defined as such and so were listed under the umbrella “ETP” designation.

FINMA has now approved an exemption to allow ETFs holding only bitcoin reflecting its “long trading history and particularly high trading volume compared with other cryptocurrencies.”

Market jitters persist as the AI selloff deepens. South Korea’s KOSPI fell almost 4%, accompanied by one of the weakest IPO debuts in the country’s history, with data centre company Elice tumbling around 30%.

The weakness carried into U.S. pre-market trading, with CoreWeave (CRWV) down 4%, Cipher Digital CIFR falling 2% and IREN IREN losing 3%. The Invesco QQQ ETF also traded lower, reflecting broader pressure on technology stocks.

Bitcoin edged lower over the past 24 hours but held above $81,000, while gold slipped almost 1% to just above $4,110 an ounce. Brent and WTI crude oil each climbed a further 2%.

Long-dated U.S. Treasuries appear to be attracting defensive flows, with the iShares 20+ Year Treasury Bond ETF (TLT) rising 0.5%.