Today's Top Stories
6 stories
Tech
ServiceNow plunges 27% in record drop on mixed earnings and AI disruption fears
Shares of ServiceNow experienced their worst day on record after reporting adjusted EPS of $1.00 that missed analyst estimates of $1.02, despite revenue expanding 20% to $4.11 billion. The underwhelming results stoked "SaaSpocalypse" fears among investors that AI-driven solutions are threatening traditional software business models, while immediate returns from the company's dedicated AI engineering investments remain delayed.
CNBC ↗
Central Banks
Microsoft plans $25 billion bond issue to finance ongoing AI infrastructure investments
Microsoft is preparing to raise at least $25 billion in the U.S. bond market as tech hyperscalers fund substantial capital commitments amid a more selective environment for artificial intelligence debt. The move followed a quarterly print that showed strong cloud acceleration but left shares drifting lower alongside a broader re-evaluation of data center capacity timelines.
MarketWatch ↗
Tech
Amazon misses third-quarter earnings and revenue forecasts
Amazon reported third-quarter adjusted earnings of $1.89 per share on revenue of $201.94 billion after the closing bell, missing consensus analyst estimates of $1.96 per share and $202.31 billion. The report places additional scrutiny on the company's e-commerce and cloud margins amid elevated AI spending across big tech.
CNBC ↗
Markets
Caterpillar slides 9% as construction weakness offsets headline beat
Dow component Caterpillar fell sharply despite posting headline third-quarter revenue and adjusted earnings that beat consensus expectations. Investor sentiment soured over a shortfall in sales within its core construction industries division, mirroring growing cyclical caution across heavy industrial names.
CNBC ↗Central Banks
Treasury yields slip below 5% as markets assess Fed stance and Warsh strategy
The 10-year Treasury yield dropped 6 basis points to 4.99% as bond markets processed the Federal Reserve's rate pause at 3.75%–4.00% and policy commentary from Fed Chairman Kevin Warsh. While Warsh preserved optionality for a possible December rate increase and suggested financial conditions are not yet tight, investors expressed growing concern that his proposals to reduce the frequency of rate decisions could spur larger volatility swings in the Treasury market.
WSJ ↗
Policy
DoorDash agrees to purchase Instacart for $17 billion in online delivery tie-up
DoorDash announced an agreement to acquire Instacart for approximately $17 billion in cash and stock at $65 per share, representing an 11% premium over Wednesday's close. The combination aims to unite food delivery and grocery fulfillment networks under DoorDash, though the proposed transaction is already raising scrutiny from analysts regarding potential extended antitrust reviews by U.S. regulators.
CNBC ↗Markets at a Glance
vs. previous closeLevels as of 4:05 PM EDT. Source: Yahoo Finance; may be delayed.
The Market Today
U.S. equities closed broadly lower as an intensifying post-earnings sell-off in mega-cap technology and enterprise software weighed on benchmarks, snapping a three-day advance for the S&P 500. Tech sentiment deteriorated sharply following Alphabet's historic single-day loss and a 27% collapse in ServiceNow, while the Nasdaq Composite bore the brunt of the downturn with a 1.38% drop. Treasury yields eased further, with the 10-year falling below 5.00% to 4.99% as investors digested the Federal Reserve's rate hold and Chair Kevin Warsh's policy maneuvering, while WTI crude stabilized just above $102 per barrel.
Since the Open
vs. this morning's brief- Tech losses intensified while the broader market held firm: The Nasdaq tumbled an additional 1.38% from morning levels to end down 1.38% on the session, whereas the S&P 500 (+0.20% from the morning level) and Dow (+0.32%) clawed back part of their early deficits despite closing lower.
- Alphabet's sell-off deepened: Alphabet extended its morning rout, sliding another 1.29% to finish the session down 12.64% and erasing roughly $500 billion in market value in its worst day on record.
- Microsoft reversed initial gains: After rallying in the pre-market on strong Azure cloud growth, Microsoft surrendered its morning momentum, falling 1.88% since the open to end down 0.16% as investors reacted to its capex plans and mega bond offering.
- Crude oil staged an afternoon turnaround: WTI crude rebounded 2.34% from morning levels to $102.82 per barrel, erasing its early 2.25% drop tied to U.S.-Iran diplomatic headlines.
- Treasuries advanced further: The 10-year Treasury yield slipped an additional 2 basis points from morning levels to break below the 5.00% mark, settling down 6 basis points on the day at 4.99%.
Your Watchlist
vs. previous close- Alphabet (GOOGL): Shares tumbled 12.64% today after missing third-quarter adjusted earnings and revenue forecasts alongside $9.07 billion in negative free cash flow. WSJ
- Amazon (AMZN): Shares fell 4.25% today and extended focus into the close after reporting third-quarter EPS of $1.89 on revenue of $201.94 billion, missing Wall Street targets. CNBC
- Microsoft (MSFT): The stock slipped 0.16% today, reversing morning gains as the company prepped a massive $25 billion bond offering to fund ongoing AI infrastructure demands. MarketWatch
- Nvidia (NVDA): Shares slipped 0.80% today amid ongoing reports that the U.S. Department of Justice is inquiring into its planned $12.9 billion acquisition of AI platform Hugging Face. Reuters
- Meta (META): The stock gained 1.96% today even as French regulators rejected the company's appeals against interim regulatory measures. Reuters
- Tesla (TSLA): Shares shed 0.23% today, weighed down by broader tech weakness and a South Korean court decision dismissing an owner lawsuit regarding Full Self-Driving refunds. Reuters
- Apple (AAPL): Shares rose 1.48% today as tech investors rotated into consumer hardware following hands-on reviews of its new touchscreen laptop lineup. CNBC
- Exxon Mobil (XOM): Shares rose 0.64% today ahead of quarterly earnings, despite CEO Darren Woods cancelling his appearance at the upcoming ADIPEC conference in Abu Dhabi citing security concerns. Financial Times
Tomorrow's Calendar
Friday, October 30 · times ETEconomic data & events
Earnings
After today's close
Friday, October 30
High-impact release. Earnings shown for large companies ($10B+) and your watchlist. Sources: Forex Factory, Nasdaq. Schedules can change.
Sectors & Movers
- Software and Cloud Services: Enterprise software endured severe selling pressure led by ServiceNow's 27% collapse, which dragged peer multiples lower across the sector. Cloud infrastructure players also pulled back, with CoreWeave dropping 3% and Nebius falling over 5% following indications of slower delivery in data center capacity.
- Semiconductors: Chipmakers traded broadly lower, with the iShares Semiconductor ETF (SOXX) sliding more than 2% and the Roundhill Memory ETF (DRAM) losing 4% as the broader AI trade saw risk taken off the table.
- Industrial Gases: Linde fell more than 1% despite delivering quarterly records for revenue ($9.4 billion) and adjusted EPS ($4.59), as investors focused on a slight soft patch in fourth-quarter forward guidance and a $425 million restructuring charge tied to its Lincare segment.
- Prediction Markets and Fintech: International prediction platform Polymarket temporarily paused trading after at least $2.7 million in user funds were stolen via an exploit of third-party performance monitor DebugBear, though the platform resumed operations after pledging to make users whole. Concurrently, competitor Kalshi secured $1 billion in new funding at a $40 billion valuation.
Macro & Policy
- Federal Reserve Strategy: Federal Reserve Chairman Kevin Warsh signaled an inclination toward tighter policy down the line, stating he is "unwilling and unable to call" overall financial conditions tight. Investors remain attentive to Warsh's efforts to keep markets guessing alongside plans to reduce the number of yearly policy meetings, which market participants caution could elevate bond volatility.
- European Central Bank: The ECB held benchmark rates unchanged following its meeting, though policymakers flagged the possibility of a December rate hike while cautioning that climbing sovereign bond yields risk dampening euro-area economic growth.
- Energy Diplomacy: U.S. attempts to resume diplomatic negotiations with Iran helped cap sharp advances in crude oil markets, though security concerns in the Gulf persist—prompting energy executives from Exxon Mobil and Chevron to cancel scheduled travel to the Adipec energy conference in Abu Dhabi.
What to Watch
- Amazon Post-Earnings Reaction: Watch how Amazon shares respond in extended trading and Friday morning trade following its third-quarter earnings and revenue miss.
- U.S. Employment Cost Index: Scheduled for release Friday at 8:30 AM ET, with consensus expectations looking for a 0.8% quarter-over-quarter increase compared to 0.9% in the prior period.
- Major Energy Earnings: Exxon Mobil (XOM, consensus EPS $3.90), Chevron (CVX, consensus EPS $4.78), and BP (BP, consensus EPS $2.66) are all set to report third-quarter financial results before Friday's opening bell.
- Healthcare and Defense Results: Before Friday's market open, earnings prints are scheduled from AbbVie (ABBV, consensus EPS $3.74), Regeneron Pharmaceuticals (REGN, consensus EPS $13.76), and General Dynamics (GD, consensus EPS $4.14).
Sources
55 articles- CNBCDoorDash to acquire Instacart for $17 billion
- CNBCDow loses 100 points, S&P 500 snaps 3-day advance as Alphabet and Caterpillar tank: Live updates
- CNBCAmazon earnings are out – here are the numbers
- CNBCServiceNow shares plunge 27% to worst day ever after earnings revive AI disruption fears
- WSJAlphabet Sheds Half a Trillion in Market Value in Stock’s Worst Day Ever
- MarketWatchMicrosoft to raise up to $25 billion in bond market as investors get pickier about AI debt binge
- WSJThe Holiday Hiring Rush Is Moving to the Eleventh Hour
- MarketWatchWhat’s the first thing most people do with their 401(k) after they retire? Nothing.
- CNBCSome Polymarket user funds stolen by hackers, exchange referring matter to U.K. authorities
- WSJOil Prices Ease as U.S. Seeks to Renew Diplomacy With Iran
- WSJTreasury Yields Fall Following Major Central Banks’ Hold
- MarketWatchDoorDash and Instacart want to join forces. Will the U.S. government get in their way?
- BloombergAres CEO Says It’s Avoiding Backing AI Chips, Citing Complexity
- BloombergTokenization Gives Illiquid Funds a 24/7 Trading Twist
- ReutersECB flags December hike but sees yield rise hitting growth - Reuters
- BloombergWarsh’s ‘Forward Silence’ Risks Bigger Treasury Market Swings
- WSJPolymarket Pauses Trading After Some Users Report Funds Drained
- BloombergAI Creating New Pathways to Engage Clients, Says Schwab CEO
- MarketWatch‘The $100 level is ours for awhile’: Oil won’t be getting cheap anytime soon, no matter what happens in the Gulf
- CNBCLinde delivers a good quarter and puts in a fix for an overhang on the stock
- Financial TimesExxonMobil boss pulls out of Gulf energy conference over security concerns
- ReutersWall Street slides as Alphabet revenue miss revives AI capex jitters - Reuters
- WSJA $1,000 Device Enables Hands-Free Driving. But Fatal Crashes Have Prompted Scrutiny.
- WSJGold, Silver Futures Settle Lower
- ReutersFarmer-funded attack ads targeting Republicans air across rural America - Reuters
- ReutersKalshi raises $1 billion at $40 billion valuation as it expands beyond prediction markets - Reuters
- Financial TimesNew Jersey governor threatens to block delivery of Russian diesel cargoes
- CNBCAnalysis: Kevin Warsh is keeping Wall Street guessing. It may be his most powerful tool
- Financial TimesUS tech stocks fall after earnings fuel AI spending concerns
- WSJUniversal Music Logs Higher Revenue as Subscriptions, Streaming Pick Up
- WSJThe Beleaguered Chip Sellers Getting Their Revenge on Apple
- CNBCHands-on with Apple's first touchscreen laptop: Touch is totally optional
- BloombergApple’s Touch MacBook Pro Eases Users Into a Big Change: Hands-On
- ReutersMicrosoft expects to raise $25 billion in US bond sale, source says
- BloombergMicrosoft Looks to Raise at Least $25 Billion From US Bond Sale
- The New York TimesMicrosoft Up, Google Down. A Tale of Two Hyperscalers.
- CNBCNvidia responds to report Jensen Huang was target of Chinese asset, says diversion allegations were 'investigated and debunked'
- CNBCNvidia's $12.9 billion Hugging Face deal draws DOJ scrutiny
- ReutersEXCLUSIVE: US DOJ is inquiring about Nvidia's purchase of Hugging Face, sources say
- Barron'sDoorDash Makes $17 Billion Instacart Bet to Ward Off Amazon and Walmart Threats
- CNBCAmazon to report Q3 earnings after the bell with AI spend under scrutiny
- CNBCFinal Trade: MSFT, CMG, VIX, AMZN
- CNBCAI buildout hits snag as Google and Microsoft put off raising capex forecasts
- ReutersBreakingviews - COMMENTARY: Google and Microsoft weave tangled AI webs
- CNBCAlphabet falls 12%, putting it on course for its biggest ever post-earnings drop
- ReutersMeta loses appeals against interim measures imposed by French regulators
- WSJNvidia to Invest $3 Billion in Meta’s Equity Offering as They Expand AI Partnership
- BloombergMusk’s Favorite Ticker Is Free for Taking in a SpaceX-Tesla Deal
- Barron'sTesla Stock Gets Dragged Down by Alphabet’s Misery
- ReutersSouth Korean court rejects Tesla owners' lawsuit seeking 'Full Self-Driving' refunds
- Barron'sBank Stocks Are Having a Tough Time. Why Morgan Stanley and JPMorgan Chase Can Beat the Odds.
- MarketWatchJPM Stock Price | JPMorgan Chase & Co. Stock Quote (U.S.: NYSE)
- BloombergWatch Stronger UK-EU Ties Would Strengthen Pound, JPMorgan's Gimber Says
- MarketWatchXOM Stock Price | ExxonMobil Holdings Corp. Stock Quote (U.S.: NYSE)
- ReutersEXCLUSIVE: Exxon, Chevron cancel executive trips to UAE's ADIPEC, sources say
This brief was written by AI (Google Gemini) from the articles listed above and may contain errors. It is for information only and is not investment advice. Check the original reporting before making decisions.