Negative day for Wall Street. Investors concerned about the rise in megacaps – Stock Exchange

Wall Street ended the last session of the month in the red, with shares coming under pressure from forecasts from Microsoft and Meta, which disappointed the market. These perspectives fuel concerns that the 45% rise in “megacaps” – which boosted stock markets in recent months – may have gone too far.

In other words, there is growing concern about whether this group can sustain strong profit growth while investing millions of dollars in artificial intelligence.

“Halloween is bringing trick-or-treating to many investors,” he said. Steve Sosnick from Interactive Brokers, to Bloomberg. “The market mindset appears to be shifting from a point where any AI-related issue was cause for excitement to a point where investors are hoping for some profitability on this major investment,” he added.

On the day they revealed the accounting for the last three months, which disappointed the market, Mastercard lost almost 3% and Uber lost close to 10%.

Furthermore, the approach of the US elections and the Federal Reserve meeting next week continues to focus investors’ attention. Analysts speak of a shift from feeling of certainty to volatility with these two events.

The S&P 500 fell 1.9% to 5,705.45 points, nullifying the advance recorded in October and interrupting a series of monthly gains, which could have been the biggest since 2021. The Dow Jones lost 0.9% to 41,763.46, while the Nasdaq Composite dipped 2.76% to 18,095.15 points.

Among the main market movements, the highlight is the great fall of the Wall Street giants: Nvidia lost almost 5%, while Tesla and Amazon devalued more than 3%. A day after releasing quarterly results, Microsoft and Facebook owner Meta Platforms fell 6% and 4%, respectively.

A Super Micro Computer also fell almost 12%, still a relief compared to the 33% drop recorded in the previous session, after the company that managed the North American company’s accounting resigned.

This Friday, investors will be reacting to the presentation of accounts for the last quarter of the giants Amazon and Apple, made after the closure of Wall Street.