Tech Advances After Fed Rate Cut - Tech Roundup
Shares of technology companies rose after an interest rate cut.
Artificial intelligence infrastructure spending has bolstered business investment and economic growth outlook, said Federal Reserve Chairman Jerome Powell.
"The risk is that, for one reason or another, companies pause or reduce some of the capex related to AI and data centers and all that stuff and that throws the earnings picture out of whack," said Oliver Pursche, senior vice president at financial advisory Wealthspire.
Artificial intelligence could lead to major disruptions in the labor force, in the long term but "it's certainly not showing up in layoffs yet," said Powell.
In Silicon Valley, a scramble to keep up with AI developments continues. Design software maker Adobe was the latest major tech company to say it's integrating with AI, adding three of its apps to OpenAI's ChatGPT.
Palantir shares rallied after the AI-powered analytics firm received a contract from the U.S. Navy to reduce maintenance downtime of submarines.
Oracle shares fell after hours, however, after the business software giant's earnigns report failed to quell worries it has over-extended itself in the AI arms race.
Instacart shares fell after a report accused the company, also known as Maplebear, of charging different prices for the same items.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
December 10, 2025 17:08 ET (22:08 GMT)
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