Microsoft Is Market’s Biggest Drag as AI Woes Weigh Down Stock

The S&P 500 Index has had a fitful 2026 as it aims for a fourth-straight year of double-digit percentage gains, something it hasn’t done since the 1990s, while contending with risks from the war in Iran and rising inflation.

But one high-profile culprit is most responsible for holding back the market: Microsoft Corp. The software giant is down 12% this year, making it by far the biggest drag on the index’s 8.3% gain, according to data compiled by Bloomberg. While Meta Platforms Inc. and Tesla Inc. are the next closest, their moves amount to a fraction of Microsoft’s weight. ...