Nasdaq 100 futures slipped on Wednesday evening following a sharp selloff in the regular session.
Nasdaq 100 futures dropped 0.7%, while S&P 500 futures fell about 0.4%. Futures tied to the Dow Jones Industrial Average were hovering under the flat line.
A slew of corporate earnings came out after the close. Facebook-parent Meta beat on top and bottom lines in the third quarter, but the company’s Reality Labs division lost $3.7 billion. Meta shares slid 3%. Meanwhile, Align Technology plummeted 25% after the company offered weak fourth-quarter revenue guidance and missed estimates in the third quarter.
The moves follow a brutal trading session, which was partly driven by a 9.5% decline in Google-parent Alphabet. Alphabet’s Class-A shares suffered their worst day since March 2020. Late Tuesday, the company reported revenue in its Google cloud unit that came in below analyst estimates.
In regular trading Wednesday, the S&P 500 fell 1.4% and ended the day below the 4,200 level that’s widely watched by chart analysts and investors. That marked the first time the broader index closed below this threshold since May. The tech-heavy Nasdaq Composite, meanwhile, lost 2.4% and recorded its worst day since Feb. 21, while the 30-stock Dow shed 0.3%.
The next market catalyst may come Thursday morning as traders watch the first estimate for third-quarter gross domestic product, which is expected to have gained 4.7% on an annualized basis, per Dow Jones. The question now is how long will this expected growth last, particularly as economists look for signs of a recession. Weekly jobless claims data will also be out in the morning.
Major earnings are also on the horizon, with Amazon scheduled to post results after the close, along with Ford and Chipotle.
