Before the Bell
Technology is driving the morning. Nasdaq 100 futures are down about 2.5% and S&P 500 futures about 1.1% after two big-name reports landed badly: Amazon missed third-quarter earnings estimates and disclosed record negative free cash flow (cash left after capital spending) on roughly $77 billion of quarterly investment, and Intel guided fourth-quarter revenue and earnings below estimates. Dow futures are roughly flat, cushioned by gains in Chevron and Exxon. Oil adds a second pressure point: Brent crude is near $113.50 on reports that the US may resume strikes on Iran.
The selling extends Thursday's pattern. The S&P 500 fell 0.30% to 7,720.39, the Nasdaq Composite lost 1.38% to 26,184.72 and the Dow slipped 0.25% to 52,342.56. Alphabet dropped more than 12% after missing profit estimates and Caterpillar fell more than 9% after its results, yet 8 of 11 S&P sectors rose and the Russell 2000 gained 1.0%, a rotation out of big tech rather than a broad retreat. Overnight, Japan's Nikkei fell 2.1% after the Bank of Japan held rates at 1.25% and raised its inflation forecast; Germany's DAX is lower while London's FTSE 100 edges up.