Rockefeller CIO: Big Tech's $650 Billion AI Investment Risks Overcapacity

The news creates a negative perception of the sector by indicating that major technology companies' artificial intelligence investments carry overcapacity risk. Although AAPL stock has already declined 1.77% in the last 24 hours and its RSI of 37.8 is approaching oversold territory, the MACD line remaining below the signal line and the price trading below its 20- and 50-day moving averages confirm short-term weakness. This technical outlook, combined with the negative news flow, suggests that selling pressure may persist. However, the low RSI levels also limit the potential for a rebound buying, so the bearish expectation is expressed with moderate confidence.

Amazon (AMZN) has dropped more than 6% in the last 24 hours, falling to $234.31. With this decline, the Relative Strength Index (RSI) has fallen to 26, entering oversold territory. MACD values are also in negative territory and trading below the signal line, confirming weak short-term momentum. News headlines reflect concerns that major tech companies' artificial intelligence investments carry the risk of overcapacity, which could pressure technology stocks like AMZN. The price is trading well below its 20-day and 50-day moving averages ($244.65 and $248.61, respectively), indicating a weak technical outlook. While selling pressure is likely to persist in the short term, some buying on the dip may occur due to the oversold condition.

GOOGL shares have dropped 10.4% in the last 24 hours to $321.39, with the RSI entering oversold territory at 23.3. The MACD stands at -7.44, below the signal line and in negative territory, indicating weak short-term momentum. News headlines highlight that major tech companies' AI investments carry overcapacity risks, which could create negative sentiment for tech giants like GOOGL. The price is trading well below its 20-day and 50-day moving averages ($344 and $353, respectively), confirming a weak technical outlook. Selling pressure is likely to persist in the short term, though some buying on the dip may occur due to the oversold condition.

MSFT shares have declined 3.5% in the last 24 hours, with the RSI entering oversold territory at 29.27. The MACD remains below the signal line and in negative territory, confirming weak momentum. The stock is trading below both its 20-day (393.27) and 50-day (394.55) moving averages. News headlines highlight concerns that major tech companies' AI investments may carry overcapacity risks, fueling sector-wide worries. While short-term selling pressure is likely to persist, oversold conditions may limit the pace of further declines.