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US stock futures inched up on Thursday ahead of a rush of earnings highlighted by Amazon (AMZN), as investors assessed the season so far and eyed President Donald Trump’s fast-moving policy overhaul.
Dow Jones Industrial Average futures (YM=F) and the S&P 500 futures (ES=F) both nudged up around 0.2%. Contracts on the tech-heavy Nasdaq 100 (NQ=F) hovered above the flatline on the heels of two winning days in a row for the major gauges.
The tariff jitters that shook stocks earlier in the week may have eased, but markets are eyeing incoming earnings for any company warnings. At the same time, tech and chip-related results are being scrutinized for signals about the strength of AI demand.
Investors are keenly awaiting Amazon’s quarterly report due after the bell, following Alphabet’s (GOOG, GOOGL) cloud sales flop. The report will further test the view that Big Tech plans to keep spending big in AI after disappointing results late Wednesday from chip companies Arm (ARM) and Qualcomm (QCOM).
Adding to gloom, Ford (F) shares slid despite a quarterly earnings beat after it put out muted full-year guidance, pointing to tariffs as a headwind. Its CEO warned of that billions of dollars in auto industry profits could be wiped out if 25% tariffs on Mexico and Canada are sustained.
Shares Peloton (PTON) soared after the fitness equipment maker posted better than expected sales, thanks in part to its seasonal partnership with Costco (COST). Meanwhile oil and gas producer ConocoPhillips (COP) beat quarterly profit estimates on higher production.
Investors are parsing Treasury Secretary Scott Bessent’s comment on Wednesday that Trump wants to focus on lower Treasury yields as a way to ease borrowing costs, rather than calling for the Federal Reserve to lower rates. The benchmark 10-year yield (^TNX) traded around its lowest levels since December, at about 4.43%.
But Trump is still posing a quandary for the Fed, in that his tariffs could dial up inflation — though policymakers are taking a “wait and see” approach before moving on policy. Jobless claims jumped to 219,000 last week, coming in above estimates of 213,000. Investors were eyeing the data point for clues on Fed decision making amid the risk of an uptick in inflation.
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Eli Lilly reports mixed earnings, increases 2025 guidance
Yahoo Finance’s Anjalee Khemlani reports:
Eli Lilly (LLY) reported fourth quarter and full year earnings for 2024 on Thursday, with results largely beating Wall Street estimates, sending its stock slightly higher in pre-market trading. But the company missed on GLP-1 sales.
The pharma giant has had a few hits and misses in the past few months. Its GLP-1 tirzepatide drugs were removed from the FDA drug shortage list, which shuts down compounding pharmacy knockoffs. But it also revised down its fourth quarter 2024 guidance last month, ahead of the earnings release.
Read more here.
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Europe stocks rise, FTSE 100 surges after BOE rate cut
Stocks in Europe and the UK moved higher on Thursday as investors welcomed a wave of earnings reports and an interest-rate cut from the Bank of England.
London’s FTSE 100 index (^FTSE) climbed 1.6% after the UK central bank reduced its key rate as expected to 4.5%, its lowest level in 20 months. The BOE’s first easing in three months came after a cooling in inflation.
Meanwhile, the pan-European Stoxx 600 (^STOXX) benchmark advanced 0.7%, setting its sights on a fresh record close. Germany’s DAX (^GDAXI) rose 0.9%, and the CAC (^FCHI) in Paris moved up 1%.
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Good morning. Here’s what’s happening today.
Economic data: Challenger jobs cuts (year-over-year, January); Initial jobless claims (week ending Feb. 1)
Earnings: Amazon (AMZN), Eli Lilly (LLY), Affirm (AFRM), e.lf. Beauty (ELF), Bristol Myers Squibb (BMY), ConocoPhillips (COP), Hershey (HSY), Peloton (PTON), Pinterest (PINS), Phillip Morris International (PM), Roblox (RBLX), Tapestry (TPR), Yum! Brands (YUM)
Here are some of the biggest stories you may have missed overnight and early this morning:
The Elon Musk-Sam Altman feud is turning into a long legal war
Honeywell to break up into three companies: WSJ reports
Trump, Musk are setting up a fight around a Watergate-era law
The biggest factor that could break the stable labor market
Musk ‘buyout’ taken by 40,000 federal workers as deadline nears
Bessent: Trump wants lower 10-year yields, not Fed cuts
Arm stock slides after chip firm dials down FY sales forecast
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Oil prices return from losses with Saudi price increase
Oil prices are pulling back from a heavy sell-off after Saudi Arabia’s state oil company set a steep rise in March oil prices.
Futures saw an immediate change in price, with Brent crude futures (BZ=F) coasting up 14 cents to $74.75 a barrel and West Texas Intermediate (CL=F) crude rising 18 cents $71.21 a barrel.
Reuters reports:
