December S&P 500 E-Mini futures (ESZ26) are down -1.03%, and December Nasdaq 100 E-Mini futures (NQZ26) are down -1.78% this morning as the first round of Big Tech earnings reignited concerns about the sustainability of the AI trade, sparking a selloff in chipmakers and other AI-related stocks.
Meta Platforms (META) raised the lower end of its full-year capital expenditure guidance while leaving the upper end unchanged and offered no specific details on its 2027 spending plans beyond saying it would continue “investing aggressively.” Quilter Cheviot’s Ben Barringer said the absence of a substantial increase means “there’s not much there for the AI CapEx trade.” Meanwhile, Tesla (TSLA) cut its full-year capital spending forecast. Taken together, these developments reignited concerns about AI investments, sending chipmakers and AI infrastructure stocks sharply lower in pre-market trading. Marvell Technology (MRVL), Intel (INTC), and Advanced Micro Devices (AMD) each fell -4% or more.
