New York, July 9, 2026, 08:02 (EDT)
- Alphabet Class A shares closed Wednesday at $361.92, down 1.39%. U.S. regular trading was set to open at 9:30 a.m. EDT.
- Google has appealed an Indian court ruling involving keyword ads, saying the case could have an impact on competition in digital advertising.
- U.S. stock futures traded higher ahead of the open, though concerns over oil prices, interest rates and AI spending kept pressure on big tech stocks.
Google parent Alphabet has appealed an Indian court decision that could change the way firms buy search ads in India. The case is set to be a new regulatory hurdle for the stock ahead of Thursday’s U.S. session. Alphabet Class A last traded at $361.92 after falling 1.39% Wednesday, giving the company a market cap near $4.39 trillion.
The reason this matters right now is straightforward: advertising is still Google’s biggest source of profit, and India is a major market. Last year, Google brought in $4.1 billion from ads in India, according to Reuters. At the same time, Google faces antitrust cases and legal battles in the country.
The dispute centers on keyword bidding. Hindware, which makes bathroom fittings in India, said competitors bought ad slots linked to its name. The Delhi High Court sided against Google and awarded Hindware $31,600 in damages plus costs, Reuters wrote.
Google, in its July 7 filing, called the ruling an outlier, saying it made India the “sole outlier” and warned of “serious consequences” for digital advertising, competition, and consumer choice. The company also told Reuters the order “diverges from established legal precedents in India.” Reuters
The stock didn’t move on its own. U.S. index futures ticked up early Thursday, with Nasdaq 100 futures up 0.63% at 5:27 a.m. ET. Oil prices slipped after their earlier spike on renewed U.S.-Iran tensions. Mark Haefele, chief investment officer at UBS Global Wealth Management, said any progress toward a peace deal would likely be “bumpy,” with potential flare-ups to rattle markets. Reuters
The S&P 500 dropped 0.28% the previous day. The Dow ended down 1.09%. The Nasdaq managed to climb 0.20%, lifted by chip stocks, even though Alphabet and Microsoft both lost over 1% and Meta slid 2%. “Duration is the key here,” Rob Haworth, senior investment strategist at U.S. Bank Wealth Management, told Reuters, commenting on the Iran shock. Reuters
Alphabet is still facing questions about whether its spending on AI will keep delivering. Earlier this year, CEO Sundar Pichai told analysts, “We are seeing our AI investments and infrastructure drive revenue and growth across the board.” The company has said capital spending for 2026 could run between $175 billion and $185 billion. Reuters
Alphabet’s spending puts it up next to Microsoft, Amazon and Meta, the so-called hyperscalers racing to expand data-center networks. Morgan Stanley said this week that some investors might switch from chip stocks to these companies, but the bank also said the payoff from AI products is still unproven.
Google picked up a win in court. A California federal judge on Wednesday threw out a proposed class action that claimed Google’s Gemini tracked users’ communications without notice or consent. The plaintiffs have 21 days to amend and refile the lawsuit.
The downside risks are still here. India’s ruling could stick, bringing new online ad costs and possibly changing brand-search rules. Oil staying high would keep yields elevated, squeezing growth stocks. More regulator pushback in Europe or elsewhere—after Google’s recent losses—could be a bigger hurdle for the stock’s AI and cloud pricing. Last week, Europe’s top court backed a €4.1 billion antitrust fine against Google over Android, with Reuters reporting it could open the door to more damages claims.
Markets will have a clearer signal once normal trading starts on the Nasdaq. The Nasdaq’s posted holiday schedule shows a July 3 closure for Independence Day in 2026, no closure on July 9. NYSE hours are 9:30 a.m. to 4:00 p.m. ET.
