U.S. stock index futures were tilting south on Friday with technology stocks set to lead with losses after disappointing Snap results, though the week was set to deliver strong gains for major indexes,
How are stock-index futures trading?
-
Futures on the Dow Jones Industrial Average
YM00
fell 7 points, or 0%, to 32000. -
Futures on the S&P 500
ES00
dropped 10.75 points, or 0.3%, to 3991. -
Futures on the Nasdaq 100
NQ00
decreased 69 points, or 0.6%, to 12571.
On Thursday, the Dow industrials climbed 162.06 points, or 0.5%, to 32,036.90, the S&P 500 gained 1% to 3,998.95 and the Nasdaq Composite rose 1.4% to 12,059.61. It marked the third straight session of gains for the S&P 500 and Nasdaq and the highest levels in six weeks for all three indexes.
Investors cheered second-quarter earnings results for Tesla
TSLA
and Philip Morris International
PM
among others, which offered some salve for economic data such as weekly jobless claims that indicated a slowing economy.
What’s driving markets?
While all three indexes were looking at strong weekly gains — the Nasdaq was up 5.3% as of Thursday — disappointing results from Snapchat parent Snap
SNAP
were threatening to derail some of that earnings optimism. Those shares were down 27% ahead of Friday’s open after the company revealed weak digital advertising, hinted at cost cuts and didn’t provide a forecast.
“The Snap results came as a warning for other Big Tech names that rely on ad revenue,” said Ipek Ozkardeskaya, senior analyst at Swissquote, in a note to clients.
Opinion: As Snap melts down, its founders make sure to protect the people who matter: themselves
Shares of Google parent Alphabet
GOOGL
fell 2.7% and that of Facebook parent, Meta Platforms
META,
dropped 4% in early premarket trading. Twitter
TWTR,
which is due to report results ahead of the market open on Friday, fell 2.8%.
Verizon
VZ,
American Express
AXP
and Schlumberger
SLB
will also report Friday. Next week will see some of the biggest tech names on Wall Street report, including Microsoft
MSFT,
Meta, Apple
AAPL
and Amazon
AMZN,
along with Boeing
BA,
McDonald’s
MCD
and Caterpillar
CAT.
The U.S. economic data front is less busy on Friday, with the flash S&P Global U.S. manufacturing and services purchasing managers indexes due.
The euro
EURUSD
was weaker against the dollar on Friday, trading down 0.8% at $1.0147, one day after the European Central Bank hiked interest rates for the first time in 11 years, following PMI data that showed a contraction in the eurozone.
