On October 29, 2026, an attacker moved about $6.36 billion out of Binance wallets across ten blockchains, attributed to North Korea's TraderTraitor, with evidence pointing to a compromise of Binance's hot wallet signing infrastructure. About $3 billion was frozen on-chain, and an initial investigation suggested the hack involved a compromised laptop belonging to a DevOps engineer, allowing the unauthorized party to access a service container and execute unauthorized withdrawal transactions.
Technology shares sold off for a second consecutive day as another round of disappointing earnings accelerated a rotation out of the artificial intelligence trade and drove investors toward haven assets such as Treasuries. Alphabet shares lost 12% after the company missed on earnings and revenue in the third quarter and posted negative free cash flow of $9.07 billion, dragging the Nasdaq Composite to a 1.4% loss. Amazon shares lost 6% in extended trading after the company reported earnings and revenue for the third quarter that fell short of Wall Street's expectations, posting negative free cash flow of $42.4 billion and maintaining its 2026 capital expenditures forecast for $220 billion.
Intel issued weaker-than-expected guidance for the fourth quarter, with revenue in its client computing and physical AI group falling 5% from the same quarter a year ago to $8.1 billion, even as data center and AI revenue jumped 78% to $7.3 billion. For the current quarter, Intel expected adjusted earnings per share of 25 cents on revenue between $15 billion and $16 billion, while analysts were expecting revenue of $17.1 billion and EPS of 43 cents.
Bitcoin fell on Friday as concerns over the $6.3 billion hack at cryptocurrency exchange Binance rattled digital asset markets, falling 2.8% to $78,489.73, while Ethereum dropped 3.8% to $2,242.90. The incidents underscore mounting concerns among investors about both the returns being delivered from massive AI infrastructure spending and the risks posed to participants in uninsured cryptocurrency markets.
The Federal Open Market Committee voted to hold the benchmark federal funds rate steady at 3.75%–4.00%, adopting a wait-and-see stance while leaving the door open for a potential year-end rate hike in December. Two policymakers favored a hike, wanting another increase because inflation is still too high, while the rest preferred to wait and see what the next economic reports reveal.
The BLS Employment Situation Summary for October 2026 showed continued resilience in the US labour market with 182,000 jobs added, unemployment stable at 4.1%, and wage growth still running above the level the Federal Reserve considers consistent with its 2% inflation target. However, employment decreased in all 8 US regions, with small business employment decreasing in 10 of 12 sectors tracked by the Small Business Index.
DoorDash announced it will acquire Instacart for $17 billion, uniting two delivery giants under one roof, with DoorDash paying $65 a share in cash and stock, an 11% premium to Instacart's closing price on Wednesday. The deal risks facing FTC scrutiny over competition and grocery pricing, though regulatory approval remains a key hurdle.
Disappointing earnings results and guidance by AI-powered corporate behemoths significantly dented market participants' confidence in risky assets like equities, while an elevated reading of a key inflation gauge also hurt investors' sentiment. Results that included negative free cash flow and predictions that capital expenditures would rise again next year appeared to make investors question Alphabet's return on invested capital.
Binance said it had fallen victim to a major hack hitting around $6.3 billion in funds, with about half frozen to prevent theft, insisting user funds are completely safe but also promising to cover all losses. The incident is the biggest crypto hack ever, according to analysts.
Small business employment decreased in all 8 US regions, with the Rocky Mountain region seeing the fastest decline rate, and employment decreasing in 10 of 12 sectors tracked by the Small Business Index. A majority of small businesses say inflation is the biggest challenge for the third consecutive quarter, with just 27% believing the national economy is in good health.
Small and mid-sized business owners face a complex backdrop of market volatility and sector rotation that could affect both credit availability and customer demand. The tech selloff reflects investor skepticism about returns from massive AI spending, signaling that the artificial intelligence buildout may slow or become more selective. For operators relying on tech-sector demand or considering their own AI investments, this is a moment to reassess expected returns and validate use cases before committing capital. Meanwhile, employment data showing broad small-business weakness across regions suggests that while the aggregate labor market remains stable, hiring pressure at smaller firms is real—potentially making talent recruitment and retention even more competitive despite wage growth plateauing.
The Binance hack—largest in crypto history—serves as a cautionary tale about digital asset custody and counterparty risk. For businesses with cryptocurrency exposure or considering it, this event underscores the need for robust security protocols and insurance. More broadly, the convergence of disappointing tech earnings and a major cybersecurity breach reinforces that businesses should maintain disciplined capital discipline in discretionary areas like AI, focus on cash flow protection, and ensure their own security posture is sound. Rising inflation pressures and the Fed's hawkish dissent also leave the door open for rate increases; operators should stress-test their borrowing capacity and lock in favorable terms where possible.