Google Stock Declines Nearly 2% as Tech Sector Slump Grips Markets

Shares of Alphabet Inc. (GOOGL) tumbled on Tuesday, September 2, 2025, amid a broad sell-off in technology stocks and renewed concerns over U.S. trade policy and interest-rate prospects.

Alphabet’s Class C shares closed at $208.91, down 1.98% from Monday’s record closing high, after briefly trading as high as $210.66 during the session. The decline snapped a five-month winning streak, during which the stock had notched consecutive gains fueled by robust AI enthusiasm and optimism about cloud-computing partnerships.

The Nasdaq-100 fell 1.38% on the day, dragging down heavyweight tech names; Google slipped nearly 2%, while Amazon and Meta also shed more than 1%. Investors cited fresh uncertainty over reciprocal tariffs enacted by the U.S. government and mounting speculation that the Federal Reserve may cut interest rates as soon as this month, following mixed inflation data and ahead of Friday’s August jobs report.

Despite Tuesday’s pullback, Alphabet remains up over 12% year-to-date, buoyed by its $10 billion cloud partnership with Meta Platforms and impressive second-quarter results that exceeded analysts’ expectations for both revenue and earnings per share. Market watchers continue to eye upside targets of $220 and $250, driven by strong momentum in AI investments and cloud-services growth.