Alphabet Nears Bear Market Territory, Hit by AI Costs and Yields

Alphabet (GOOG, GOOGL) shares slid Wednesday as the stock approached bear market territory.

The stock fell over 3% Tuesday.

This closing price represents the lowest level since November.

The retreat marks a 17% decline from the recent peak.

A 20% drop typically defines a bear market.

Rising bond yields and geopolitical tensions weigh on rate-sensitive technology stocks.

Investors are evaluating the high costs of scaling artificial intelligence infrastructure.

Ongoing regulatory scrutiny contributes to market uncertainty.

Elevated trading volumes suggest active investor repositioning at key technical levels.