Nasdaq Drops 2.6% as Meta's Spending Comments Hit Chip Stocks

The Nasdaq Composite fell 2.6% on Thursday, Oct. 22, 2026, dragged down by microchip stocks. Meta's earnings report revived worries about heavy AI capital spending. Reuters called it the index's biggest decline in four periods. On Friday, large AI stocks were mixed on quieter trading. Whether this marks a broader rotation, money moving between sectors, remains unclear.