A trader works on the floor of the New York Stock Exchange (NYSE) in Manhattan, New York, on April 11, 2022.
andrew kelly | Reuters
Nasdaq 100 futures fell Thursday night following a Big Tech earnings extravaganza, with disappointments from Amazon and Apple.
Tech-heavy index futures fell 1.5%, while Dow Jones Industrial Average futures slid 0.4% and S&P 500 futures fell 0.4%. 0.8%.
The moves are a big reversal for stocks, which have seen big gains in regular trading. The Dow gained 614 points, or 1.9%, and the S&P 500 rose 2.5%. The tech-heavy Nasdaq Composite jumped 3.1%.
The big investor focus on Thursday night was on Amazon, whose shares fell about 10% in extended trading after reporting a surprise loss from its investment in Rivian and issuing a weak second-quarter revenue forecast.
Apple initially got a boost after a sharp decline in profits, but fell after Chief Financial Officer Luca Maestri said supply chain constraints could hamper third-quarter fiscal revenue. Shares were down more than 3% after hours.
Despite Thursday’s gains, stocks still have some way to go to end the month green. The Dow is down 2.2% for the month and the S&P 500 is down 5.4%. The Nasdaq is on course for its worst month since March 2020, down 9.5%. Friday will be the last trading day of the month.
It was one of the busiest weeks for the earnings season and a particularly intense week for tech companies, which fueled investor sentiment throughout the week.
Intel also announced its results on Thursday evening. The stock fell more than 3% in extended trading after the company issued a weak guidance for its fiscal second quarter. Shares of Robinhood fell more than 8% after hours after the company reported a bigger-than-expected loss, lower revenue and a drop in the number of monthly active users.
Beyond earnings, investors remain concerned about slowing global growth, rising inflation and monetary tightening by the Federal Reserve.
On Thursday, the Commerce Department reported that U.S. gross domestic product unexpectedly fell 1.4% in the first quarter from a year earlier, compared with the 1% growth expected by economists polled by Dow. Jones.
On Friday, investors will be looking for new personal consumption expenditure (PCE) data. Core PCE is the Federal Reserve’s main inflation indicator. The University of Michigan Consumer Confidence Index is also due out at 10 a.m. ET.
Friday will bring a calmer income day to end the week. Honeywell, Bristol-Myers Squibb are on deck before the bell. Energy companies Exxon Mobil, Chevron and Phillips 66 will also report.