Market Turmoil: Microsoft and Alphabet Stocks Plunge as Whales Shift Positions

Microsoft and Alphabet stocks experienced a significant slump on Monday, with Microsoft's share price falling by nearly 2% and Alphabet's two stock classes dropping by almost 3%. The decline was attributed to concerns raised in an article by The Wall Street Journal about the ability of cloud infrastructure to handle the rapid rise of artificial intelligence (AI) functionalities. Additionally, the impending rebalancing of the Nasdaq 100 index, in which both Microsoft and Alphabet are prominent components, added to the downward pressure on the stocks. The rebalancing will adjust the weightings of the index's component stocks, potentially reducing the prominence of Microsoft, Alphabet, or both.