Wall Street to open in red: Tech stocks in focus after Alphabet misses estimates; Amazon and Intel to report earnings today

US stock markets are set to open in the red on Thursday after megacap earnings failed to beat market expectations. The NASDAQ 100 futures fell nearly 1% overnight and extended that loss on Thursday morning. At the same time, the Dow Jones futures also fell 140 points on Thursday at 5:00 pm. Investors will also closely watch the US macroeconomic data release for Q3, to be announced in the next 30 minutes.

Macroeconomic numbers expectations

The US economy is expected to grow at 3.2% in Q3, posting the fastest growth rate this year, following a 2.2% growth in Q2. The resilient status of the economy comes at a time when interest rates remain at elevated levels, supported by robust consumer spending and strong investment in AI. The Federal Reserve’s preferred gauge of inflation, PCE inflation, is expected to increase 0.5% MoM, marking the biggest increase in six months.

Stocks in focus

How did European markets fare on Thursday?

Meanwhile, European stocks largely traded in the green on Thursday amid renewed optimism. The Euro Stoxx rose 0.2%, the UK’s FTSE surged 0.3%, and Germany’s DAX and France’s CAC 40 surged 0.8% each, respectively. However, the Eurozone Economic Sentiment fell for the second consecutive month to 96.9 in October, missing market expectations of 97.5. Consumer confidence also deteriorated to -17.9, the lowest level since May, as households became pessimistic about their financial conditions in the future and present.

Asian market at close

Japanese markets extended the gains for the third consecutive day as the sole winner in the Asian pack. At the same time, Korean Kospi, Hong Kong’s Hang Seng and Taiwan’s benchmark index all closed in the red. The Asian markets continued to remain under pressure amid elevated energy prices and supply disruption fears from the Middle East region.