{"id":73456,"date":"2026-10-22T16:38:19","date_gmt":"2026-10-22T20:38:19","guid":{"rendered":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/nasdaq-plummets-in-worst-session-since-june-as-ai-spending-fears-rattle-markets\/73456\/"},"modified":"2026-10-22T16:38:19","modified_gmt":"2026-10-22T20:38:19","slug":"nasdaq-plummets-in-worst-session-since-june-as-ai-spending-fears-rattle-markets","status":"publish","type":"post","link":"https:\/\/www2.stockmarketwatch.com\/stock-market-news\/nasdaq-plummets-in-worst-session-since-june-as-ai-spending-fears-rattle-markets\/73456\/","title":{"rendered":"Nasdaq Plummets in Worst Session Since June as AI Spending Fears Rattle Markets"},"content":{"rendered":"<h2>Key Takeaways<\/h2>\n<ul>\n<li><strong>Nasdaq Composite ($IXIC) fell 2.64%<\/strong> to close at 25,999.35, marking its <strong>steepest daily percentage decline since June 5, 2026<\/strong>, as aggressive AI infrastructure spending triggered investor caution.<\/li>\n<li><strong>Western Digital (<a href=\"\/stock\/WDC\">WDC<\/a>) shares climbed in extended trading<\/strong> after reporting a massive <strong>55% year-over-year revenue surge<\/strong> and providing Q2 guidance that significantly outpaced Wall Street estimates.<\/li>\n<li><strong>Newmont (<a href=\"\/stock\/NEM\">NEM<\/a>) topped Q3 expectations<\/strong> with adjusted EPS of <strong>$2.20 on $6.36 billion in revenue<\/strong>, supported by steady <a href=\"https:\/\/stockmarketwatch.com\/metal\/gold\" data-internallinksmanager029f6b8e52c=\"4\" title=\"gold price today\">gold<\/a> production of 1.30 million ounces.<\/li>\n<li><strong>SpaceX is finalizing a $40 billion debt deal<\/strong> led by Apollo and Goldman Sachs, with lower-rated tranches expected to price at a <strong>steep 8.3% interest rate<\/strong> amid rising AI-related credit jitters.<\/li>\n<li><strong>U.S. CDC announced new Ebola attestation mandates<\/strong> for all international airline passengers effective November 3, requiring digital or paper proof of no recent travel to the Democratic Republic of the Congo.<\/li>\n<\/ul>\n<h2>Tech Sell-Off and Corporate Earnings<\/h2>\n<p>The <strong>Nasdaq Composite (<a href=\"\/stock\/IXIC\">IXIC<\/a>)<\/strong> experienced a significant retreat on Thursday, closing down <strong>703.50 points<\/strong> as the market reacted to the intensifying &quot;arms race&quot; in artificial intelligence spending. <em>Investors appeared increasingly wary of the massive capital expenditures required to sustain AI growth, leading to a broad-based exit from high-valuation tech names.<\/em> The <strong><a href=\"https:\/\/stockmarketwatch.com\/indices\/dowjones\/today\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Dow Jones Today\">Dow Jones<\/a> Industrial Average (<a href=\"\/stock\/DJI\">DJI<\/a>)<\/strong> remained relatively flat, sliding just <strong>0.01%<\/strong> to finish at 52,853.21.<\/p>\n<p>Bucking the downward trend in the tech sector, <strong>Western Digital (<a href=\"\/stock\/WDC\">WDC<\/a>)<\/strong> delivered a robust fiscal first-quarter 2027 report. The company posted <strong>adjusted EPS of $4.64<\/strong>, well above the $4.10 consensus, and projected Q2 revenue between <strong>$5.0 billion and $5.2 billion<\/strong>. Management also announced a <strong>17% increase to its quarterly dividend<\/strong>, citing strong demand for AI-driven storage solutions.<\/p>\n<p><strong>Newmont (<a href=\"\/stock\/NEM\">NEM<\/a>)<\/strong> also reported strong quarterly results, with revenue of <strong>$6.36 billion<\/strong> beating the $6.28 billion estimate. The gold mining giant maintained its full-year 2026 production guidance while advancing the <strong>Red Chris Block Cave<\/strong> project toward a final investment decision in early 2027.<\/p>\n<h2>Geopolitical and Regulatory Developments<\/h2>\n<p>In a notable interaction between political and corporate spheres, <strong>President Donald Trump<\/strong> addressed his relationship with <strong>Elon Musk<\/strong>, describing it as &quot;a good one&quot; while declining to provide specifics on recent communications. The comments come amid reports that Trump may have influenced a decision to restore <strong>Starlink<\/strong> satellite speeds for Ukrainian forces. Regarding the ongoing conflict between Russia and Ukraine, the President stated, <strong>\u201cWe\u2019ll see how it works out.\u201d<\/strong><\/p>\n<p>Simultaneously, Musk&#39;s <strong>SpaceX<\/strong> is navigating a complex credit environment to fund its hardware needs. The company is reportedly seeking <strong>$40 billion in debt<\/strong> to purchase <strong><a href=\"https:\/\/stockmarketwatch.com\/stock\/NVDA\" data-internallinksmanager029f6b8e52c=\"15\" title=\"stock: NVDA\">Nvidia<\/a> (<a href=\"\/stock\/NVDA\">NVDA<\/a>)<\/strong> chips, with <strong>Apollo Global Management<\/strong> and <strong>Goldman Sachs<\/strong> leading the deal. The high 8.3% yield on the lower-rated debt reflects <em>growing market sensitivity toward the debt loads of private tech titans.<\/em><\/p>\n<p>On the public health front, the <strong>U.S. Centers for Disease Control and Prevention (CDC)<\/strong> is tightening travel protocols. Starting <strong>November 3<\/strong>, all passengers departing foreign countries for the U.S. must attest they have not been in the <strong>Democratic Republic of the Congo<\/strong> within the last 21 days. This move follows a significant escalation in the regional Ebola outbreak, which has now recorded over <strong>4,000 deaths<\/strong>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Key Takeaways Nasdaq Composite ($IXIC) fell 2.64% to close at 25,999.35, marking its steepest daily percentage decline since June 5, 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