Alphabet stock rebounds to $252.3 record high after Fed cut supports sentiment
Alphabet Inc. [GOOGL] stock is regaining strength after a bout of profit taking earlier this week. The stock reached a record high at $252.3 on Tuesday before retreating to $246.3 on Wednesday as investors booked profits ahead of the Federal Reserve’s policy decision.
Following the announcement of a 25 basis point rate cut, GOOGL recovered to close Wednesday at $249.46, trimming its losses and setting the stage for renewed buying interest.
Highlights
- Alphabet stock set for seventh weekly gain after Fed rate cut
- $5 billion U.K. data center expansion strengthens Alphabet’s long-term AI growth.
- PayPal partnership and regulatory relief bolster confidence despite overbought RSI signals.
In Thursday’s premarket session, GOOGL surged again, climbing near its all-time high at $252.3 and recording a 1.4% daily gain. The rebound reflects broader support for U.S. technology stocks after the Fed’s move to ease monetary policy. While the rate cut had been anticipated and therefore failed to spark an outsized rally, its confirmation still provided a constructive support to GOOGL stock price.

GOOGL stock price dynamic (March - Sept 2025). Source: Tradingview
Beyond monetary policy, several fundamental developments are bolstering sentiment toward Alphabet. The company announced the opening of a new data center in Waltham Cross, Hertfordshire, as part of a $5 billion investment to expand its U.K. footprint over the next two years. The facility is designed to meet surging demand for AI-driven services across Google Cloud, Workspace, Search, and Maps, strengthening Alphabet’s infrastructure to capture long-term growth in artificial intelligence adoption.
Alphabet gains confidence as China eases antitrust probe during trade talks
Geopolitical shifts are also proving favorable. Reports suggest that China is dropping an antitrust probe into Google as part of broader trade negotiations with the United States over technology issues such as TikTok and Nvidia. This easing of regulatory scrutiny provides a tailwind for investor confidence at a time when U.S. technology companies are heavily exposed to global trade relations.
Additionally, Alphabet has entered a multi-year strategic partnership with PayPal to integrate new AI-powered shopping and payment experiences. The collaboration is expected to extend PayPal’s reach across Google’s ecosystem while enhancing Google’s ability to embed seamless payment solutions into its platforms. According to PayPal’s Chief Executive Alex Chriss, the partnership aims to bring services to billions of users worldwide, reinforcing Alphabet’s role in digital commerce.
Despite a daily Relative Strength Index reading above 80, which signals an overbought condition since early September, these positive fundamentals are keeping sentiment elevated. Traders now anticipate a seventh consecutive weekly gain for Alphabet, highlighting strong institutional confidence. The confluence of monetary support, infrastructure expansion, regulatory relief, and strategic partnerships is keeping GOOGL near record highs, and investors are positioning for further advances if momentum continues.
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