{"id":6569,"date":"2026-10-23T00:21:30","date_gmt":"2026-10-23T00:21:30","guid":{"rendered":"https:\/\/digitalmarkettrends.com\/index.php\/2026\/10\/23\/nasdaq-falls-2-6-as-ai-spending-fears-hit-tech-stocks-oil-prices-jump\/"},"modified":"2026-10-23T00:21:30","modified_gmt":"2026-10-23T00:21:30","slug":"nasdaq-falls-2-6-as-ai-spending-fears-hit-tech-stocks-oil-prices-jump","status":"publish","type":"post","link":"https:\/\/digitalmarkettrends.com\/index.php\/2026\/10\/23\/nasdaq-falls-2-6-as-ai-spending-fears-hit-tech-stocks-oil-prices-jump\/","title":{"rendered":"Nasdaq falls 2.6% as AI spending fears hit tech stocks, oil prices jump"},"content":{"rendered":"
<\/div>\n

US stocks fell on Thursday as renewed concerns about artificial intelligence spending pressured technology shares, while rising geopolitical tensions in the Middle East pushed oil prices to a five-month high. <\/p>\n

The Nasdaq Composite recorded its steepest daily decline since June, while the S&P 500 suffered its worst session since July. <\/p>\n

Investors also moved into US Treasuries as they assessed the risks posed by rising energy prices, AI-related financing requirements and the outlook for Federal Reserve interest rates.<\/p>\n

Nasdaq leads Wall Street lower as AI spending concerns return<\/h2>\n

The Nasdaq Composite dropped 2.60% to 26,008.86, while the S&P 500 fell 1.21% to 7,663.43. The Dow Jones Industrial Average edged up 0.02% to 52,867.98.<\/p>\n

Technology stocks led the declines as investors reassessed the costs of expanding AI infrastructure and the financing required to support the industry’s growth.<\/p>\n

Meta Platforms fell<\/a> around 7% despite reporting better-than-expected third-quarter revenue and providing an upbeat outlook. <\/p>\n

Investors focused on its rising AI expenditure, its first cash outflow in more than a decade, and plans to issue non-voting shares as it seeks greater flexibility to fund its expansion.<\/p>\n

Chipmakers also came under pressure. Advanced Micro Devices fell more than 8%, Micron Technology declined 6%, and Nvidia lost 4%. <\/p>\n

CoreWeave, a major provider of AI-focused cloud infrastructure, dropped more than 10% amid continued concerns about its debt and financing costs.<\/p>\n

The Philadelphia Semiconductor Index also recorded a steep decline, extending its losses from its June 22 record closing high. <\/p>\n

Despite the recent pullback, the index remained sharply higher for the year and continued to outperform the broader S&P 500.<\/p>\n

Tesla shares also declined despite the electric vehicle maker reporting positive free cash flow for the quarter and lowering its 2026 capital expenditure plans.<\/p>\n

Oil climbs as Middle East tensions raise supply risks<\/h2>\n

Oil prices surged after reports that the US and Israel were considering renewed strikes against Iran following next month’s US midterm elections. <\/p>\n

Tensions increased further after Iran-backed Houthi forces launched new attacks against Saudi targets, raising concerns about potential disruptions to energy supplies.<\/p>\n

Brent crude futures rose 3% to settle at $113.03 a barrel, while US West Texas Intermediate crude advanced 2.18% to $99.27.<\/p>\n

Higher oil prices also raised concerns about inflation and the potential implications for Federal Reserve policy. <\/p>\n

US jobless claims <\/a>remained near multi-decade lows, suggesting labour market conditions could allow policymakers to maintain their focus on inflation. <\/p>\n

Financial markets were pricing in the possibility of another 25-basis-point interest rate increase before the end of the year.<\/p>\n

Treasury yields fall as investors seek safe-haven assets<\/h2>\n

US Treasury yields declined as investors sought safer assets amid volatility in technology stocks and rising geopolitical risks.<\/p>\n

The benchmark 10-year Treasury yield fell more than 17 basis points to 4.974%, its lowest level in almost a month. <\/p>\n

The two-year Treasury yield dropped more than 16 basis points to 4.66%.<\/p>\n

The move marked a shift from earlier concerns about inflation and elevated borrowing costs, as investors reassessed the risks associated with AI-related financing and the outlook for energy prices.<\/p>\n

Meanwhile, third-quarter earnings continued to provide mixed signals across the market. <\/p>\n

Of the 111 S&P 500 companies that had reported results, 83% had exceeded analyst expectations, according to LSEG data.<\/p>\n

Procter & Gamble shares rose<\/a> after the consumer goods company beat revenue estimates, despite warning that higher commodity costs would weigh more heavily on annual profits. <\/p>\n

Lockheed Martin gained after raising its annual sales and profit forecasts, while Spotify advanced<\/a> after projecting fourth-quarter profit above Wall Street expectations.<\/p>\n

The post Nasdaq falls 2.6% as AI spending fears hit tech stocks, oil prices jump<\/a> appeared first on Invezz<\/a><\/p>\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

US stocks fell on Thursday as renewed concerns about artificial intelligence spending pressured technology shares, while rising geopolitical tensions in the Middle East pushed oil prices to a five-month high. The Nasdaq Composite recorded its steepest daily decline since June, while the S&P 500 suffered its worst session since July. Investors also moved into US […]<\/p>\n","protected":false},"author":1,"featured_media":6570,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-6569","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-stock"],"_links":{"self":[{"href":"https:\/\/digitalmarkettrends.com\/index.php\/wp-json\/wp\/v2\/posts\/6569","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/digitalmarkettrends.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/digitalmarkettrends.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/digitalmarkettrends.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/digitalmarkettrends.com\/index.php\/wp-json\/wp\/v2\/comments?post=6569"}],"version-history":[{"count":0,"href":"https:\/\/digitalmarkettrends.com\/index.php\/wp-json\/wp\/v2\/posts\/6569\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/digitalmarkettrends.com\/index.php\/wp-json\/wp\/v2\/media\/6570"}],"wp:attachment":[{"href":"https:\/\/digitalmarkettrends.com\/index.php\/wp-json\/wp\/v2\/media?parent=6569"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/digitalmarkettrends.com\/index.php\/wp-json\/wp\/v2\/categories?post=6569"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/digitalmarkettrends.com\/index.php\/wp-json\/wp\/v2\/tags?post=6569"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}