S&P 500, Nasdaq 100 Tumble Over 1% as Tech Rally Cools Ahead of Big Tech Earnings Week

According to Bloomberg, last week U.S. stock indices fell sharply on concerns over AI investment returns. The S&P 500 dropped 1.6%, Nasdaq 100 fell 4.1%, and the Philadelphia Semiconductor Index (SOX) plunged 10%—its worst week since April 2025.

Big Tech earnings releases begin this week on July 22 with Tesla and Alphabet, followed by Microsoft and Meta Platforms on July 29, and Apple and Amazon on July 30. These six companies represent approximately one-quarter of the S&P 500's market capitalization. Alphabet is expected to report capital expenditures of $187 billion this year, more than double last year's level. Investors are scrutinizing whether rising spending will translate into measurable revenue acceleration.