On October 30, 2026, the US stock market experienced a sharp decline triggered by the release of quarterly reports from leading tech companies. Significant stock losses affected giants such as Google, Intel, Reddit, and Amazon.
Google's Capitalization Loss
Google's stock fell by 12.29% in one day, leading to a reduction in the company's capitalization by more than $500 billion. The main reasons for this decline were disappointing financial results, particularly a drop in revenue from the search engine that did not meet investor expectations. Investments in the development of artificial intelligence (AI) also negatively impacted the company's financial performance.
Intel and Reddit Issues
Intel's shares dropped by approximately 25%. Increased demand for data center products has led to rising prices for memory, but consumers are postponing upgrades of their computers. The company forecasts revenues between $15 and $16 billion, which is below the expected $17 billion.
Additionally, Reddit experienced a nearly 20% loss in pre-market trading, as users are receiving answers from AI directly in Google, reducing their activity on the platform.
Amazon's Situation
Amazon's stock declined by 6.3%. Over the past 12 months, the company reported a negative free cash flow of $42.4 billion, primarily due to significant expenses on AI infrastructure. This has also adversely affected the company's financial results.
Amid the decline of the US stock market, other global stock exchanges are also showing decreases, indicating an overall negative trend in the market.