Nasdaq Drops 1.38% as Alphabet's 12% Post-Earnings Plunge Rattles AI Trade
IXIC sits 27% above its 52-week low of $20,690.249.
Summary
The Nasdaq Composite fell 365.13 points, or 1.38%, to 26,184.72 as Alphabet dropped more than 12% to $281.73 on a revenue shortfall — one of the largest single-session market cap losses for any company on record. The read-through hit the whole AI infrastructure complex: Caterpillar slid 9.3% to $647.39 after third-quarter sales missed, even though it said data-center generator orders now stretch into 2030. Microsoft slipped 0.2% to $530.14 despite beating quarterly estimates, showing the bar for AI-linked earnings has gotten extremely high after two years of the boom. The Dow lost 132.54 points (0.25%) to 52,342.56 and the S&P 500 fell 23.59 points (0.30%) to 7,720.39, so the damage was concentrated in tech rather than broad. This is the first AI-optimism crack of the current earnings cycle and follows a September stretch where oil spikes and a Fed hike already pressured the index.
At the time of this announcement, IXIC was trading at $26,184.72 on NASDAQ in the Technology sector. The 52-week trading range was $20,690.25 to $27,722.75. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Dow Jones Newswires.