Business · Markets · 4 hrs ago
Nasdaq Falls 1.3% as Fears Grow That AI Could Disrupt Software Firms
The Nasdaq fell 1.3% on Oct.
29, its first drop in four trading days.
The index is heavily weighted toward technology companies in the United States.
Software companies’ earnings revived concerns about industry growth and weighed on technology shares.
Investors are worried that AI could replace some existing businesses as it becomes more widely used.
Alphabet shares fell 12.6% in one day.
The figures show that the sector’s recovery may be losing momentum, but no next steps were specified.
The Nasdaq Composite fell 1.3% on Oct. 29, reversing after three consecutive sessions of gains.
Concerns about software companies’ growth returned after industry earnings reports.
Investors were again worried that artificial intelligence could replace existing business models.
Alphabet shares fell 12.6% from the previous day.
- Who
- The Nasdaq Composite and technology stocks, including Alphabet.
- What
- The Nasdaq Composite fell 1.3%, while concerns about AI’s effect on software companies returned.
- When
- Oct. 29.
- Where
- The U.S. stock market.
- Why
- Software companies’ earnings reports revived concerns about industry growth and the possibility that AI could replace existing businesses.
This story does not have two clearly opposing sides.
Software companies’ earnings reports revived concerns about the industry’s growth.
The Nasdaq Composite fell 1.3%, and Alphabet shares dropped 12.6%.
- Nasdaq Composite
- Fell 1.3% on Oct. 29
- Alphabet
- Fell 12.6% from the previous day
- Nasdaq’s prior movement
- Oct. 29 was its first decline in four trading sessions
- Concern
- AI could replace existing software businesses