Good afternoon and welcome to Markets Desk.
Equities closed in the red Tuesday as rising bond yields did what they always do — make stocks look expensive. The S&P five hundred shed nearly seven tenths of a percent, the Dow fell a similar amount, and the Nasdaq one hundred wasn't far behind. Investors rotated out of risk as yields climbed, applying pressure across the board in a broad but orderly selloff.
Staying in the mega-cap space, the AI spending race is reshaping how analysts think about Alphabet versus Meta and Microsoft versus Amazon. All four are pouring tens of billions into data centers and infrastructure through two thousand twenty six. The question investors are wrestling with is which bets generate returns fastest — and right now, the market doesn't have a clean answer.
Meanwhile, Google made its position unmistakably clear at its annual I-O developer conference in Mountain View. Artificial intelligence was not a theme at the event — it was the event. The company is effectively rebuilding its entire product stack around AI, signaling that whatever Google was before, it intends to be something fundamentally different going forward.
That's the tape. Markets Desk, signing off the floor.
