{
  "id": 17330125,
  "title": "October ends with a thud for Intel, Reddit, AI stalwarts",
  "url": "https://urgent.news/2026/10/31/october-ends-with-a-thud-for-intel-reddit-ai-stalwarts",
  "topic": "ai",
  "section": "AI",
  "published": "2026-10-31T02:42:25.000Z",
  "source": {
    "name": "Economic Times Tech",
    "slug": "economic-times-tech",
    "url": "https://economictimes.indiatimes.com/tech/technology/october-ends-with-a-thud-for-intel-reddit-ai-stalwarts/articleshow/135385131.cms"
  },
  "original_language": "en",
  "account": "October concluded with a disappointing end for tech giants Intel, Reddit, and leading AI firms. The Nasdaq composite experienced its most significant decline since June on Friday, marking the beginning of a new trading month. Chipmaker Intel and social media platform Reddit suffered severe losses of 29% and 13%, respectively, while SanDisk, a prominent chipmaker benefiting from the AI spending boom, fell by 13%.\n\nThe substantial sell-off followed the recent downturn in big tech companies at the forefront of AI development, including Microsoft, Meta Platforms, Amazon, and Alphabet. These companies collectively contributed to over a third of the capital spending in the S&P 500 over the past year, according to Capital Economics. However, their share of the S&P 500 may grow further - a scenario that investors find increasingly challenging.\n\nJohn Higgins, a markets economist at Capital Economics, pointed out that as the hyperscalers' capital spending becomes more reliant on external financing, investors are becoming more apprehensive about the magnitude and approach of their investments. The Nasdaq 100 index of nonfinancial large stocks dropped by 3.5% after being further down, hinting at a potential correction of 10% from its recent high. Overall, the Nasdaq composite has declined by 7.8% from its closing peak, after its worst month since March 2025 dimmed some of the year's AI-driven gains.\n\nInvestors' sentiment has suddenly shifted, questioning who will capitalize on the investments and who will not. Brian Jacobsen, chief economic strategist at Annex Wealth Management, emphasized that the current turmoil extends beyond technology shares, reflecting a broader risk pullback. The decline extended to other sectors, with silver dropping 6% (31% for the year) and gold falling 3.5% (10% for 2026).\n\nMost of the recent stock sell-offs can initially be attributed to the inevitability of market corrections following an extended upward trend. Sahak Manuelian, managing director for global equities sales and trading at Wedbush Securities, argued that the current market decline is not a significant leverage issue. Nevertheless, rising oil prices raised concerns about the health of the US economy, which many investors believe relies on the AI buildout for growth. Financial stocks, including Goldman Sachs and Jefferies, also experienced heavy losses, and Bitcoin fell 3% following a $6 billion hack on Binance.",
  "summary": "A fresh test of this year's technology rally sent the Nasdaq composite on Friday to its biggest decline since June. Chipmaker Intel and social media firm Reddit fell 29% and Sandisk, a chipmaker that has been one of the great beneficiaries of the AI capital-spending boom, dropped 13%.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 3,
    "also_reported_by": [
      {
        "outlet": "Fast Company",
        "title": "Tech stocks down: Intel, Reddit, and Amazon are getting hammered. Has the AI reckoning arrived?",
        "url": "https://urgent.news/2026/10/30/tech-stocks-down-intel-reddit-and-amazon-are-getting-hammered-has-the",
        "published": "2026-10-30T12:28:00.000Z"
      },
      {
        "outlet": "CNA - Business",
        "title": "October ends with a thud for Intel, Reddit, AI stalwarts",
        "url": "https://urgent.news/2026/10/30/october-ends-with-a-thud-for-intel-reddit-ai-stalwarts",
        "published": "2026-10-30T20:34:04.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}