The Nasdaq-100 Index® (NDX®) fell from its October all-time highs as it ended a turbulent November 2025 with a 1.6% drop, although a strong final week of the month helped moderate losses. NDX is still up 21% year to date.
Despite a strong third-quarter earnings season, concerns about AI capex, lofty valuations, and market pricing of the Federal Reserve’s rate cuts led to the sell-off in November. The reversal of risk appetite also affected cryptocurrencies, with Bitcoin falling more than 30% at one point from its highs.
Performance across the entire suite of Nasdaq indexes finished modestly lower in November: 62 of the 124 indexes analyzed in our report posted gains, and the average index was down 0.3%.
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The market complacency we cited last month was quickly shattered when U.S. stock volatility (as measured by the VXN, the CBOE NDX Volatility Index) jumped to nearly 33 in the middle of the month (its highest level since late April during the peak of trade tariff concerns) before settling back down to 21 in late November. While it’s always difficult to pinpoint one factor, a combination of factors likely drove down stocks and risk appetite: rising AI investment and concerns about capital spending, despite another strong earnings report from AI ecosystem leader Nvidia (NVDA), and market prices agitated by a Fed cut in December when some FOMC members expressed hesitation in cutting rates given concerns about inflation and a lack of data clarity due to the 43 government shutdown. days. However, as the month progressed, weakness in the labor market and more dovish comments from several Fed governors caused the probability of a 25 basis point rate cut at the December Fed meeting to rise from less than 25% to almost 90%, helping to push NDX to a 5% return in the last week of November.
Although another strong earnings season pushed the Nasdaq-100® combined growth rate to 15.9%, concerns about lofty valuations kept the margin of error small. In addition to the pockets of private credit stresses we cited last month impacting U.S. high-yield corporate spreads relative to Treasuries, the recent spate of corporate debt issuances as technology companies increasingly seek to finance AI investments through debt markets has also impacted corporate spreads. Although major AI hyperscalers such as Alphabet, Microsoft, Amazon and Meta have positive cash/total debt ratios, the shift in market sentiment in November pushed US investment grade spreads above 80 basis points. This spread is still at the lower end of the five-year range, but is nonetheless at its highest level since late June 2025. Similarly, US corporate high yield spreads are at the lower end of their five-year range. But with more than 300 basis points, they are also at similar levels to those of June. However, despite the narrative around an AI bubble and comparisons to the late 1990s, the previous month’s chart is just one example of how strong corporate fundamentals support strong stock market returns.
Among the 124 indices analyzed in this report, 62 ended November in positive territory, while an equal number ended with negative returns. The best performing index was the Nasdaq Sprott Lithium Miners™ Index (NSLITP™), with a return of 19.3%. The worst performance was the Nasdaq Ether Settlement Price™ (NQETHS™) index, which lost 21.4% for the month. The average performance of the 124 indices for the month was -0.3%.
Three of Nasdaq’s fourteen leading indices posted positive returns in November. The Nasdaq-100 Low Volatility™ Index (NDXLV™) was the best performer with a return of 2.0%, while the Nasdaq-100 Technology Sector™ Index (NDXT™) was the worst performer of the group with a loss of 5.4%. Major technology companies as a whole posted earnings growth that exceeded Wall Street forecasts, however concerns over AI capital spending, elevated valuation ratios and an uncertain interest rate environment weighed on the market, with the Nasdaq-100® Index (NDX®) losing 1.6%. NDX shares outside the technology sector rose as the Nasdaq-100 Ex-Tech™ Index (NDXX™) rose 1.6%. Strong intra-month swings led the Nasdaq-100 Dorsey Wright Momentum™ Index (NDXDWA™) to lose 5%. Altogether, this group of indices fell an average of 1.6%.
The performance of the Nasdaq global indices was relatively strong, with six of the group’s nine indices posting positive returns in November. US small caps were the best performers, with the Nasdaq US Small Cap™ Index (NQUSS™) returning 2.1%. US mid-caps also saw positive returns, with the Nasdaq US Mid Cap™ Index (NQUSM™) rising 1.1%. Europe was positive with the Nasdaq Europe™ Index (NQEU™) rising 1.3%, while Asia Pacific ex-Japan performed the worst of the group with the Nasdaq ASPA Ex Japan™ Index (NQASPAXJP™) losing 2.6%. The Nasdaq Global Index™ (NQGI™) returned 0.1% and the Nasdaq Developed Markets™ Index (NQDM™) rose 0.2%. The Nasdaq Emerging Markets™ Index (NQEM™) returned -1.3%. The average return for this group of indices was 0.2%.
All six indices within the Nasdaq sector indices were positive. The PHLX Gold/Silver™ Index (XAU™) was the best performer of the group, rising 16.1% after falling 5.9% in October. The index has gained 136.6% year to date. The KBW Property & Casualty™ Index (KPX™) rose 7%. The KBW Nasdaq Bank™ Index (BKX™) was the worst performer, although it still gained 2.9%.
Overall performance across the Nasdaq Thematic Tech lineup was negative, with twenty-one of the twenty-five indexes in the set posting losses, averaging -2.4%. The best performing index of the group was the Nasdaq Biotechnology™ Index (NBI™) with a return of 8.4%. The Nasdaq Lux Health Tech™ Index (NQHTEC™) also performed well, gaining 8%. The ISE CTA Cloud Computing™ (CPQ™) index was the worst performer, posting a loss of 9.5%. The Artificial Intelligence (AI) theme was down in November, as the Nasdaq CTA Artificial Intelligence™ Index (NQINTEL™) and the Nasdaq Artificial Intelligence and Robotics™ Index (NQROBO™) fell 8.7% and 7.1% respectively.
Eight of the fourteen Nasdaq Thematic Renewables and Energy Transition Materials indexes posted gains this month, with an average return of 1.9%. The Nasdaq Sprott Lithium Miners™ Index (NSLITP™) led with a return of 19.3%, while the Nasdaq Junior Silver Miners™ Index (NMFSM™) also posted a double-digit gain of 15.2%. The Nasdaq Sprott Junior Uranium Miners™ (NSURNJ™) Index was the worst performer, falling 18.1% in November.
The Nasdaq Crypto suite recorded an average drop of 18.6%, with all four indices in negative territory. After hitting an all-time high on October 6, a broad sell-off in Bitcoin and other digital currencies in October continued into November. Liquidations across the crypto complex coincided with the widespread sell-off of major tokens. US Bitcoin ETF outflows were around $3.5 billion in November. The Nasdaq Bitcoin Settlement Price™ Index (NQBTCS™) led the pack with the smallest loss at -17.1%, while the Nasdaq Ether Settlement Price™ Index (NQETHS™) had the weakest return, down 21.4%.
Among the sets of indexes that make up Nasdaq’s quantitative offerings, 35 of the 52 indexes posted gains in November, with an average return of 1.1%.
Five of the ten indices in the Nasdaq Options & Other Quantitative suite posted gains with an average return of 1.2%, while nine of the eleven Nasdaq Multifactor indices were positive this month with an average return of 1.5%.
Within the Dorsey Wright Momentum Group, the Dorsey Wright Healthcare Tech Leaders™ (DWHC™) Index was again the top performer, up 11.6% for the month and 36% year to date. The Dorsey Wright Industrials Tech Leaders™ Index (DWIDX™) was the weakest, down 5.8%. Overall, half of the sixteen indices in the set were positive with an average gain of 0.1%.
Thirteen of the fifteen Nasdaq Dividend and Income indexes posted gains this month, with an average return of 1.7%. The Nasdaq Global High Equity Income Index™ (NQGIHEI™) led the pack with a gain of 3.3%. The worst performer of the group was the Nasdaq Technology Dividend™ Index (NQ96DIVUS™), which fell 3.2% for the month.
Written by the Nasdaq Index Research Team Index Creation and Solutions
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Nasdaq® is a registered trademark of Nasdaq, Inc. The information contained above is provided for informational and educational purposes only, and nothing contained herein should be construed as investment advice, whether on behalf of a particular security or a general investment strategy. Neither Nasdaq, Inc. nor any of its affiliates makes any recommendation to buy or sell any security or any representation regarding the financial condition of any company. Statements regarding Nasdaq-listed companies or Nasdaq’s own indices are not guarantees of future performance. Actual results may differ materially from those expressed or implied. Past performance is not indicative of future results. Investors should perform their own due diligence and carefully evaluate companies before investing. THE ADVICE OF A SECURITIES PROFESSIONAL IS STRONGLY RECOMMENDED.
