Futures tied to the Nasdaq 100 slid Thursday morning as investors parsed the all-important earnings release from artificial intelligence darling Nvidia.
Nasdaq 100 futures slipped 0.57%, while S&P 500 futures lost nearly 0.4%. Dow Jones Industrial Average futures lost 77 points, or 0.18%.
Investors kept a close eye on after-the-bell earnings from Nvidia, the chipmaker that has dazzled Wall Street for more than a year as a key AI beneficiary. While the company beat expectations for the third quarter and issued strong guidance, shares shed more than 2% in extended trading.
The after-hours move "tells you how much the expectations game on Nvidia has been ramped up," Aswath Damodaran, finance professor at New York University's Stern School of Business, said on CNBC's "Closing Bell: Overtime." "They don't just have to beat analyst estimates; they got to beat them by 10%."
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On the other hand, Snowflake jumped more than 19% after the data analytics software company beat expectations for the third quarter.
That action follows a mixed day on Wall Street, with the S&P 500 ending near flat. The Dow jumped nearly 140 points, while the Nasdaq Composite ticked down 0.1%.
Traders will watch Thursday for economic data on jobless claims and existing home sales. Cleveland Federal Reserve President Beth Hammack, Chicago Fed President Austan Goolsbee and Kansas City Fed President Jeff Schmid are also expected to give remarks throughout the day.
Money Report
On the corporate earnings front, investors will parse reports from Gap and Intuit expected after the market closes.
European markets open flat
European stocks opened flat Thursday as global market sentiment dipped.
The pan-European Stoxx 600 was marginally higher at 0.02% in opening trade, as major bourses and sectors diverged. Insurance stocks led gains, up 0.69%, while household goods dipped 0.62%.
The U.K.'s FTSE 100 index was 0.22% higher at 8,103, Germany's DAX up 0.16% at 19,034, France's CAC down 0.19% at 7,185 and Italy's FTSE MIB 0.13% lower at 33,202.
— Karen Gilchrist
Asia markets fall, with Adani Group companies plunging as investors assess Adani charges
Asia-Pacific markets fell Thursday, with investors watching tech shares in the region after chipmaker Nvidia reported better-than-expected results.
All eyes were also on Indian stocks related to billionaire Gautam Adani, after the chair of India's Adani Group was indicted with others in New York federal court on charges related to a massive bribery and fraud scheme.
Shares of Adani Group companies plunged, with flagship Adani Enterprises down 19%, while the company in the eye of the storm Adani Green Energy tanked 18.09%.
Most other markets in the region slipped, with Japan's Nikkei 225 falling 0.85% and leading losses in the region.
— Lim Hui Jie
Dow lags this week
With more than half of the trading week now in the rearview mirror, the Dow is on track to underperform.
The blue-chip index has shed 0.1% since Monday. On the other hand, the S&P 500 and Nasdaq Composite have risen 0.8% and 1.5%, respectively, week to date.
— Alex Harring
See the stocks making big moves after hours
These are some of the stocks making moves after hours:
- Nvidia — The artificial intelligence darling slid nearly 2% despite exceeding expectations for the third quarter and providing strong guidance.
- Snowflake — The cloud stock soared 18% after beating earnings expectations for the third quarter and issuing strong guidance.
- Jack in the Box — The restaurant chain tumbled 5.6% after revenue for the fiscal fourth quarter came in below expectations.
— Alex Harring
Stock futures are little changed
Futures tied to the Dow, S&P 500 and Nasdaq 100 were all near flat shortly after 6 p.m. ET.
— Alex Harring