Shares of Amazon.com Inc., Microsoft Corp., Alphabet Inc. and Meta Platforms Inc. closed higher today following Democrats’ resounding midterm victory.
Amazon jumped 8.3% at one point and ended the trading session 6.1% higher than Tuesday. Microsoft gained nearly 6.7% while Alphabet and Google rose by about 3.1% and 1.4%, respectively. Multiple industry analysts tied the stock gains to the companies’ artificial intelligence buildout.
Democrats won both chambers of Congress on a campaign that emphasized data center restrictions. Furthermore, voters approved 40 ballot measures focused on blocking or limiting AI infrastructure projects. Bloomberg cited Robert Pavlik, a senior portfolio manager at Dakota Wealth Management, as saying that tech giants’ shares jumped because investors believe a data center slowdown could improve their finances.
Amazon, Meta and Google have become cash-flow-negative in recent months because of their steep infrastructure investments. Last Wednesday,…
