Overview
- Alphabet said it plans $175 billion to $185 billion in 2026 capital spending focused on AI infrastructure, and its shares fell after the disclosure despite beating quarterly revenue and profit forecasts.
- The Nasdaq closed at its lowest since November and the S&P 500 dropped about 1.2%, with Microsoft, Amazon and other mega-caps weighing on indexes.
- The S&P 500 software and services index fell for a seventh straight session, erasing about $830 billion in market value since Jan. 28 as investors reassessed the sector’s earnings durability.
- Additional pressure came from company-specific updates, including AMD’s roughly 17% plunge on a weak outlook and Qualcomm’s decline after a dour forecast, even as some chip suppliers rose on expectations of higher data‑center demand.
- Market volatility spread beyond equities, with silver tumbling in recent days and bitcoin slipping below $70,000, while traders now look to Amazon’s results Thursday and Nvidia’s Feb. 25 report for confirmation of the AI investment thesis.