30.10.202520:01:50UTC+00US Stocks Surrender Record Highs

The S&P 500 and the Nasdaq experienced declines on Thursday, with the S&P 500 dropping 1% and the Nasdaq falling 1.4%, primarily due to downturns in the technology and communication services sectors. The Dow also fell by 0.3% after relinquishing earlier gains. Shares in Meta plunged by 11.3%, following a substantial one-time tax charge of approximately $15.9 billion and announcements of significantly increased capital expenditures related to artificial intelligence, which impacted short-term cash flow expectations. Similarly, Microsoft saw a decrease of 2.6% after revealing a financial impact of around $3.1 billion from its OpenAI investment and confirming high levels of AI spending. On a more positive note, the financials and real estate sectors performed relatively well. Alphabet shares increased by 2.5% after posting better-than-expected earnings, and Eli Lilly's shares rose 4.7% after the company raised its full-year revenue forecast. Other notable performers included JPMorgan, with a gain of 2.2%, Visa climbing by 1.9%, and Goldman Sachs rising by 2.5%. Meanwhile, the anticipated meeting between Presidents Trump and Xi concluded with results in line with market expectations.