Resurfacing fears of AI overinvestment triggered by MSFT

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<Fundamentals>
A report claimed that Microsoft (MSFT) had lowered AI product sales growth targets across several divisions by as much as 50% for the current fiscal year, after many sales teams failed to meet targets for the fiscal year ending June 2025.

Although MSFT swiftly denied the report, it reignited investor concerns about AI monetization and the risk of overinvestment.

Adding to the unease, IBM CEO Krishna warned that even trillions of dollars invested in AI data centers cannot deliver meaningful returns under current cost structures, further fueling market anxiety.

<Technicals>
MSFT briefly tested the resistance at 493.00 before falling below EMA21. The price remains below bearish EMAs, indicating a potential downtrend continuation.

If MSFT fails to close above EMA21, the price could retreat toward the following support at 465.00.

Conversely, if MSFT breaches above EMA21 and 493.00, the price may advance toward the next resistance at 510.

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