Alphabet Shares Plunge 10.2% during Pre-market session; Microsoft Gains 3.6% as Indian Markets Rally

29 Oct 2026 , 06:57 PM

Shares of Alphabet, Google’s parent company, fell 10.2% in premarket trading on Thursday after its results raised concerns about accelerating artificial intelligence spending and cash burn, Reuters reported. Nasdaq futures fell as much as 1.5% on Thursday evening. Microsoft shares rose 3.6% after its results showed stronger-than-expected cash flow and cloud-growth guidance.

Key Takeaways

• Alphabet’s market capitalization would decline by more than $400 billion if its premarket losses were to persist.
• Alphabet reported weaker-than-expected search advertising results.
• Investors awaited a key US inflation reading after the Federal Reserve kept interest rates unchanged.
• The Sensex gained 905.01 points and the Nifty rose 237.90 points as Indian equities rallied.

Alphabet shares fall 10.2% in pre-market session as market value faces conditional USD 400 billion decline

Reuters reported the 10.2% premarket decline put Alphabet’s market value on track to lose more than USD 400 billion, provided the losses remained in place.

Alphabet’s results included search advertising performance that fell short of expectations, according to the company. Alphabet also reported that cash burn surged as spending related to artificial intelligence accelerated.

Microsoft shares rise 3.6% on cash flow and cloud-growth outlook

Microsoft shares rose 3.6%, Reuters reported. The company said its cash flow was stronger than expected.

Microsoft also forecast robust cloud growth, according to the company.

Nasdaq futures fall 1.5% as Asian markets diverge

Nasdaq futures fell as much as 1.5% on Thursday evening, Reuters reported. South Korea’s Kospi, Shanghai’s SSE Composite and Hong Kong’s Hang Seng ended lower.

Japan’s Nikkei 225 settled higher. European markets were trading higher in mid-session deals, while US equity markets had ended higher in overnight trade on Wednesday, Reuters said.

Indian equities rose more than 1% today. The Sensex rose 905.01 points or 1.24% to close at 74,151.04. The Nifty also rose, up 237.90 points or 1.05% to end at 22,936.75, as reported by Reuters.

Buying in banking and FMCG shares, along with easing crude oil prices, accompanied the rise in Indian equities, Reuters reported.

Federal Reserve holds rates as investors await US inflation reading

The Federal Reserve kept interest rates unchanged. Reuters said investors were awaiting a key US inflation reading a day after the central bank’s decision.