Wall Street falls after US-China talks and tech earnings reports

US stock markets fell on October 30 as investors weighed the outcome of a meeting between US President Donald Trump and Chinese President Xi Jinping, mixed corporate earnings reports and uncertainty over the possibility of further US interest rate cuts.

Activities at the New York Stock Exchange, USA. Photo: THX/TTXVN

The two leaders agreed to cool down the US-China trade war, with the US reducing some import tariffs and China pledging to maintain its supply of important rare earths. However, the two sides have not signed a formal agreement, leaving the outlook for this relationship still uncertain, as both the US and China are ready to take actions to raise tensions when necessary, according to analyst Patrick O'Hare of Briefing.com.

Before the meeting, stocks were expected to rise sharply, reaching record highs, but the rally soon stalled. At the end of the trading session in New York, the major indexes were all down: Dow Jones fell 0.2% to 47,522.12 points, S&P 500 fell 1.0% to 6,822.34 points, and Nasdaq Composite fell the most, 1.6%, closing at 23,581.14 points.

Analyst Sam Stovall (CFRA) commented that the market is in a sensitive state because stocks are overvalued and could fall sharply when affected by the double impact of the US Federal Reserve's interest rate decision and the unfavorable profit results of the technology industry.

Meta shares fell about 11.3% after the company reported an 83% drop in third-quarter 2025 profits to $2.7 billion. Meanwhile, Microsoft shares fell 2.9%, while Alphabet, Google's parent company, rose 2.5%.

Analysts attributed the market reaction to concerns that the wave of investment in artificial intelligence (AI) is not going smoothly. Russ Mould, investment director at AJ Bell, said that large technology corporations are spending heavily on AI, making their business models more expensive. He warned that if AI does not generate revenue as expected, stock prices could fall sharply. However, Forex.com analyst Fawad Razaqzada said that unless the large technology corporations announce negative surprises, stocks could continue to rise. Amazon and Apple are expected to release reports after the US market closes on October 30.

In the domestic market, at the end of the session on October 30, the VN-Index decreased by 16.26 points (0.96%) to 1,669.57 points. The HNX-Index decreased by 1.08 points (0.4%) to 266.96 points.

Source: https://baotintuc.vn/thi-truong-tien-te/pho-wall-giam-diem-sau-dam-phan-my-trung-va-bao-cao-loi-nhuan-cua-cac-hang-cong-nghe-20251031072822474.htm