A trader works on the floor of the New York Stock Exchange.
NYSE
Stock futures rose in overnight trade on Thursday as investors reviewed a slew of corporate earnings reports after the Nasdaq Composite posted its worst day in more than a year.
Dow Jones Industrial Average futures rose about 200 points, or 0.6%. S&P 500 futures were up 1.1% and Nasdaq 100 futures were up 1.9%.
Several tech stocks posted after-hours gains following strong quarterly results. Amazon has leapfrogged more than 15%, Pinterest surges more than 24% and Snap soars about 60% after reporting earnings.
The moves come after a Disappointing earnings report from Facebook’s parent Meta pushed big tech stocks lower and weighed on the stock market.
After Facebook’s quarterly results, “everyone just gave up and sold the whole sector. That was clearly a misread,” Lightshed Partners’ Rich Greenfield told CNBC’s “Closing Bell” on Thursday. “What’s going to be really interesting is how investors start looking at these companies individually rather than… the whole sector.”
On Thursday, the tech-heavy Nasdaq Composite dropped 3.7% for its worst daily performance since September 2020. The S&P 500 had its worst day in nearly a year, sliding 2.4%. The Dow Jones Industrial Average fell 518.17 points.
“Today’s sharp drop in FB market capitalization and the accompanying drag on the S&P500 index is … a stark reminder of the high concentration of Big Tech stocks in the S&P 500 – and the holes that concentration brings,” Goldman Sachs Chris Hussey said in a note Thursday.
Meanwhile, Oil price in the US reaches 90 USD/barrel for the first time since 2014, raising inflation concerns.
Investors are also interested in economic data. Unemployment in the US claim at 238,000 Last week, the Labor Department reported Thursday, slightly less than expected.
The focus now shifts to January employment report set for release on Friday morning. Economists surveyed by Dow Jones expect a 150,000 job gain, but some losses as high as 400,000.
