US Markets Highlights — Oct 30, 2026 | Aivina
October 30, 2026
US equities suffered a sharp tech-driven selloff as weak earnings reports and surging AI capital spending costs reignited market valuation concerns. Meanwhile, the Federal Reserve kept interest rates unchanged at 3.75%–4.00% while characterizing economic activity as expanding at a strong pace. Robust third-quarter GDP growth of 3.4% reinforces expectations that the central bank could resume monetary tightening before year-end.
Highlights
- Fed pauses interest rate hikes, benchmark held at 3.75%-4.00%, hawkish guidance signals potential December increase
- Tech shares suffer heavy selloff, weak corporate earnings disappoint, AI capital spending concerns resurface
- S&P 500 declines 1.82%, Nasdaq Composite tumbles 2.86%, defensive sectors outperform growth
Macro Overview
Inflation
CPI inflation remains elevated at 3.7%, driven by robust economic activity and consumer spending, keeping pressure on Federal Reserve policy.
Interest Rate Outlook
The Fed paused rates at 3.75%-4.00%, but strong growth and sticky inflation keep market expectations high for a December rate hike.
Risk Sentiment
bearish
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