Alphabet reignited the AI rally on Monday, sending tech stocks soaring after a sluggish week. Shares of the Google parent jumped 6.3%, fueling strong gains across AI-linked companies including Broadcom, Micron Technology and AMD. The Nasdaq Composite recorded its best session in six months, lifting broader markets with it.
The biggest beneficiary was Broadcom, which surged 11.1% after investors bet on the company’s role in designing and manufacturing Alphabet’s custom AI chips. As Alphabet captures more ground in the AI race, suppliers like Broadcom stand to gain — similar to Nvidia’s sweeping impact on the sector.
But not everyone is cheering.
Some analysts warn that Alphabet’s growing dominance, powered by major upgrades to its Gemini AI model and its proprietary TPU chips, could reshape the competitive landscape — and not always positively.
“Some investors are petrified that Alphabet will win the AI war,” wrote Melius Research analyst Ben Reitzes. “GOOGL winning would actually hurt several stocks we cover — so prepare for volatility.”
Others caution that a market leaning too heavily on one stock is not sustainable. Melissa Brown of SimCorp said the market’s Monday surge “doesn’t seem like a force that can drive markets higher for long.”
Alphabet may have delivered the “alpha” — strong outperformance — but letting it become the “omega” of the AI trade, analysts say, carries real risks.
What’s Moving Markets Today
Tech Stocks Bounce Back
- Nasdaq jumps 2.69%, its strongest gain since May.
- Asia-Pacific markets follow the trend as AI optimism spreads.
🪙 Record Outflows Hit BlackRock’s Bitcoin ETF
- The iShares Bitcoin Trust sees $2.2 billion in outflows, its second-worst month ever.
Sandisk Joins the S&P 500
- Sandisk will replace Interpublic Group on Nov. 28.
- Shares spiked 7% in extended trade.
Trump Holds Calls with Xi and Takaichi
- With tensions high between China and Japan, global markets await clarity as the U.S. stays publicly silent.
India’s IPO Market Booms
Global companies are racing to list their Indian units despite foreign investor outflows.
- Coca-Cola’s India bottler is considering a billion-dollar IPO in 2026.
- South Korea’s CJ Darcl Logistics has already filed for its listing.
- Analysts expect more global brands to tap India’s high-valuation IPO environment.