Market Jitters: Alphabet's Gains and Chip Stock Woes

The Nasdaq and S&P 500 saw declines as chip stocks faltered and investors anticipated earnings reports from major tech companies. Alphabet's strong performance countered some losses, while significant moves by chip companies stirred investor concerns. U.S. economic data and presidential race impacts were also closely watched.

The Nasdaq and S&P 500 wrapped up Wednesday with losses as chip stocks dropped and investors focused on upcoming earnings from major companies. Alphabet stood out with gains bolstered by strong third-quarter results, driven by its cloud services and YouTube ad sales.

As Microsoft and Meta Platforms prepared to disclose their earnings, market watchers looked for signs that investments in AI are boosting company outcomes. Meanwhile, Alphabet's performance partially countered declines in the Information Technology sector caused by dismal forecasts from Advanced Micro Devices and Qorvo, with Super Micro Computer shares also falling sharply.

In economic updates, the advance estimate of the U.S. GDP showed a 2.8% annualized rate growth, slightly lower than expected. Discussions about the upcoming U.S. presidential election and corporate concerns over various stock performances kept investors on edge.

(With inputs from agencies.)