Nasdaq futures tumble as Amazon, Intel results deepen AI spending woes

By Shashwat Chauhan Oct 30 (Reuters) Nasdaq futures tumbled more than 2% on Friday as Amazon signaled its AI spending boom is far from over and Intel warned it would burn cash this year, heightening concerns over the rising cost of the AI buildout. Shares of Amazon.com were down 7.2% in ​premarket trading after the company reported a sharp cash outflow in the third quarter and signaled ‌another increase in capital expenditures next year, on top of already elevated outlays. This is a good example of how the AI trade has changed, said Jake Behan, head of capital markets at Direxion. At this point, the market isn t just asking how fast you can grow. It s asking what you have to spend to get there. The AI trade has run into turbulence recently as investors grew uneasy about the ‌billions ​Big Tech has poured into scaling up AI infrastructure while awaiting evidence ⁠of stronger returns. Several companies have tapped the ⁠bond market to finance those investments, amplifying concerns t