US Stock Market Movement: Nebius Group plummeted on October 29 as Microsoft capital spending fell short of expectations and new cloud stocks declined.

Interpretation of Nebius Group's Sharp Decline on October 29

Keywords: Microsoft capital expenditures below expectations, new cloud stocks fall

1. On October 28, Microsoft announced quarterly capital expenditures of $45.2 billion, lower than market expectations and its own target of about $50 billion. The CFO stated that part of the third-party cloud capacity delivery was delayed. In pre-market trading on October 29, new cloud stocks collectively fell, with Nebius down 6.3%, as the market worried about a slowdown in data center capacity delivery progress.

2. On October 28, Alphabet reported Q3 earnings below expectations and capital expenditures below forecasts. In pre-market trading on October 29, the stock price fell 10.53%. Concerns about rising AI infrastructure debt financing costs and tightening financing channels further suppressed valuations in the new cloud sector.

3. On October 28, Nebius rose 6.96% to $182.34 due to news of AI infrastructure expansion, but then fell 6.3% in pre-market trading on October 29, in line with the sector's pullback following the previous day's gains.

(Disclaimer: This content is collected and summarized from public information by AI technology and is for reference only. It does not constitute investment advice.)