Shares of technology companies continued to slide as investors focused on the glass-half-empty side of Alphabet's earnings report.
Shares of the Google owner fell slightly as concerns about its $175 billion-to-$185 billion capital expenditure plan, largely for artificial intelligence infrastructure, offset robust revenue growth in the latest quarter. Amazon.com shares tumbled in late trading after it unveiled a similarly aggressive AI spending plan.
Taiwan Semiconductor Manufacturing Co. plans to start making more-advanced chips in Japan, a move that would be a major boost to the country's efforts to secure cutting-edge technology needed for artificial intelligence.
Chipmakers declined amid concerns that a rout in bitcoin and digital currency prices could prompt a slowdown in demand for cryptocurrency-mining equipment.
Lorenzo Di Mattia, manager of hedge fund Sibilla Global Fund, had bet against bitcoin coming into the recent selloff. The macro fund manager said he would now shift to a bet against chip stocks, which, he said, could be "the next shoe to drop."
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
02-05-26 1804ET
