Nasdaq 100 futures fell on Thursday night after a massive Big Tech earnings rally, to disappointment from Amazon and Apple.
Futures tied to the heavy tech index fell 1.5%, while Dow Jones Industrial Average Futures fell 0.4% and S&P 500 futures fell 0.8%.
The moves are a major reversal for stocks, which have enjoyed large gains in regular trading. The Dow gained 614 points, or 1.9%, and the S&P 500 gained 2.5%. The tech-heavy Nasdaq Composite rose 3.1%.
Investors’ big focus on Thursday night was Amazon, whose shares fell about 10% in extended trading after report an unexpected loss thanks to investment in Rivian and the issuance of weak revenue guidance for the second quarter.
Apple was originally raised after beat a big income but dropped after Chief Financial Officer Luca Maestri said supply chain constraints could hamper fiscal Q3 revenue. Shares fell more than 3% after hours.
Despite Thursday’s gains, stocks still have ways to hit the green for the month. The Dow is down 2.2% for the month and the S&P 500 is down 5.4%. Nasdaq is on track for its worst month since March 2020, down 9.5%. Friday will be the last trading day of the month.
It’s been one of the busiest weeks in earnings season and a particularly stressful week for tech companies, which has boosted investor sentiment throughout the week.
Intel also reported earnings on Thursday night. Shares fell more than 3% in extended trading after the company issued weak guidance for its second fiscal quarter. Shares of Robinhood fell more than 8% in hours, after the company reported The loss is bigger than expectedshrink revenue and reduce monthly active users.
Beyond earnings, investors remain concerned about slowing global growth, rising inflation and the Federal Reserve’s monetary tightening.
On Thursday, the Department of Commerce reported the US Unexpected drop in gross domestic product in the first quarter rose 1.4% year-over-year, compared with 1% growth expected by economists surveyed by Dow Jones.
On Friday, investors will be looking for new data on personal consumption expenditures (PCE). Core PCE is the Federal Reserve’s primary measure of inflation. The University of Michigan’s Consumer Sentiment Index is also released at 10 a.m. ET.
Friday will bring a quieter earnings day over the weekend. Honeywell, Bristol-Myers Squibb was on deck before the bell rang. Energy companies Exxon Mobil, Chevron and Phillips 66 will also report.