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Pre-Market Performance
U.S. index futures were lower ahead of the cash open, with pressure concentrated in blue chips while Nasdaq 100 futures held near flat. Nasdaq 100 futures traded at 29,129.5, down 12.5 points or 0.04%; S&P 500 futures were at 7,687.0, down 17.5 points or 0.23%; and Dow Jones futures fell to 52,744, down 324 points or 0.61%.
European equities also traded lower. The FTSE 100 was at 10,670.41, down 54.62 points or 0.51%; France's CAC 40 declined to 7,757.91, down 53.35 points or 0.68%; and Germany's DAX fell to 25,170.64, down 201.11 points or 0.79%.
Commodities remained a key pressure point for risk sentiment. Brent crude rose 1.6% to $114.92 per barrel, while WTI crude gained 1.8% to $101.22 per barrel as Middle East supply concerns kept energy markets elevated. Gold futures traded around $4,038 per ounce, down about 0.5%, while the U.S. Dollar Index was near 101.585, up 0.14%. In foreign exchange, the dollar strengthened to roughly 156.92 yen, while the euro slipped to about $1.1195.
Hot News
- Oil surge weighs on futures: Crude prices climbed to levels not seen since May as efforts to bring the U.S. and Iran back to negotiations stalled. The move in oil is adding to inflation concerns and pressuring equity futures, with U.S. gasoline prices also rising.
- AI-spending concerns remain central: The market continues to reassess the cost of AI infrastructure, including data centers, chips and financing. Thursday's technology selloff eased somewhat in early Friday trading, but investors remain focused on whether AI-related capital spending can translate into durable earnings growth.
- Europe follows U.S. futures lower: Major European benchmarks were down across the board, reflecting a broader risk-off tone as energy prices and technology-stock volatility remain in focus.
- Earnings reactions show high expectations: Several companies reported headline beats, but market reactions remained selective. Western Digital, Bloom Energy and Deckers were all under after-hours pressure despite pockets of strong operating performance, showing that investors are demanding stronger guidance, cash flow and margin visibility.
U.S. Stock Focus
- American Express — Q3 earnings beat, revenue in line: American Express reported quarterly EPS of $5.42 versus a $4.58 forecast, while revenue came in at $20.1 billion versus expectations of $20.12 billion. The stock is in focus as investors assess whether premium-card spending and credit quality can continue supporting earnings growth.
- SLB — Results top estimates: SLB reported EPS of $0.64, ahead of the $0.62 forecast, with revenue of $9.45 billion versus expectations of $9.27 billion. The results come as higher oil prices lift attention on oilfield-services demand and upstream spending trends.
- Western Digital — Beat overshadowed by after-hours selling: Western Digital reported stronger-than-expected earnings, with after-hours data showing the stock down about 6.5% to roughly $331 after closing at $354.19. Investors appeared to sell into the report despite solid numbers, reflecting broader caution toward AI-linked storage and memory names.
- Bloom Energy — Shares fall despite Q3 beat: Bloom Energy fell about 4.5% in after-hours trading to near $208 after reporting third-quarter results that beat Wall Street expectations. The stock came under pressure as investors focused on negative cash flow and whether recent momentum had already priced in strong execution.
- Deckers Brands — Sales miss and guidance pressure stock: Deckers shares dropped after the company reported quarterly sales below analyst estimates. Full-year revenue guidance of about $5.71 billion at the midpoint came in roughly 2.8% below expectations, pressuring the stock in after-hours trading.
- Newmont — Earnings and revenue beat: Newmont reported Q3 EPS of $2.20, above consensus estimates near $1.96, while revenue of $6.36 billion also topped expectations. The gold miner remains in focus as precious-metals pricing, cost discipline and capital returns drive investor sentiment.
- Meta Platforms — AI funding plans weigh on shares: Meta slipped slightly before the open after closing down about 7% on Thursday. The company reported stronger-than-expected revenue, but profit disappointed, and investors focused on its plan to create a new class of stock to help fund AI investments and other expenses.
- Tesla — Premarket rebound after post-earnings decline: Tesla traded modestly higher in premarket action after falling 3.1% on Thursday. The company reported stronger-than-expected profit for the quarter, but revenue came in weaker than forecast, keeping attention on demand, margins and spending priorities.
- Nvidia — Attempts to stabilize after tech selloff: Nvidia fell 4.4% on Thursday as AI-related stocks came under pressure, but the stock was slightly higher before Friday's open. Given Nvidia's large index weight, its premarket direction remains a key driver for S&P 500 and Nasdaq 100 sentiment.
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