Stock futures edged higher Thursday night as investors analyzed earnings reports from Apple and other well-known companies ahead of the release of a closely followed inflation report.
Futures tied to the S&P 500 ticked higher by 0.1%, while Nasdaq 100 futures gained 0.3%. Dow Jones Industrial Average futures added 42 points, or 0.1%.
Investors honed in on Apple, whose shares rose nearly 3% in extended trading after the company exceeded expectations of analysts polled by LSEG on both lines for its fiscal first quarter. While Apple reported disappointing sales tied to the iPhone, services revenue appeared to take the spotlight.
Chip plays Intel and KLA rose 4% and nearly 3%, respectively, on the back of stronger-than-forecast earnings. Beyond tech, Deckers Outdoor shares plunged around 16% as full-year revenue guidance came in slightly short of Wall Street estimates.
Thursday night’s action follows a winning — but volatile — trading session for the three major indexes. Technology has been a major focus of investors this week given Monday’s big sell-off sparked by developments out of China’s DeepSeek artificial intelligence startup and earnings reports from key players over recent days.
Despite those advances, only the Dow is on track to finish the week higher. While the blue-chip index has risen about 1%, the S&P 500 and Nasdaq Composite are poised to finish down by 0.5% and 1.4%, respectively.
Friday also marks the last day of what has been a rocky January for traders. Nevertheless, the three major averages are on pace for monthly gains, with the S&P 500 up 3.2% and the Nasdaq on pace for a 1.9% advance. The Dow outperformed in the period, on track for a 5.5% jump.
Investors will focus Friday on December data for the personal consumption expenditures price index, the Federal Reserve’s preferred inflation gauge. They’ll also monitor economic releases focused on employment costs and personal income.
Earnings season also continues, with Chevron and Exxon Mobil expected to post results before the bell on Friday. With just over 30% of S&P 500-listed firms done reporting earnings this quarter, about 77% have surpassed analyst expectations, according to FactSet.
“We still do have a fair amount of earnings,” said Jay Hatfield, CEO of Infrastructure Capital Advisors. “Usually, it pays to be long during earnings, so we would continue to be bullish into February.”
Where stocks stand for week, month
Friday marks the end of both the trading week and month. Here’s where the major indexes stand:
- The Dow: Up 1% on the week, up 5.5% on the month
- The S&P 500: Down 0.5% on the week, up 3.2% on the month
- The Nasdaq Composite: Down 1.4% on the week, up 1.9% on the month
— Alex Harring
AI investing crowding exacerbated DeepSeek meltdown
The race to invest in artificial intelligence assets exacerbated Monday’s DeepSeek fallout, according to Bank of America.
“Funds piled into AI stocks last year, likely contributing to the outsized reactions we saw in response to DeepSeek,” wrote strategist Savita Subramanian. “AI/tech companies with the biggest increase in ownership breadth over the last year were hit hardest by the headline.”
Specifically, Subramanian pointed to semiconductor manufacturer Broadcom as an example.
“AVGO, which plummeted 17% on Monday, tops our list of stocks with the biggest increases in ownership breadth last year: 56% of US large cap funds owned the stock at the end of 2024 vs. just 38% at the end of 2023,” she wrote.
— Lisa Kailai Han
See the stocks moving after hours
These are some of the stocks making notable moves in extended trading on Thursday:
- Apple — Shares climbed almost 3% as investors analyzed the personal technology giant’s earnings report, with services revenue appearing to take center stage over iPhone sales.
- Intel — Shares rose more than 3% after the chipmaker beat expectations on both lines for the fourth quarter. However, guidance came in soft.
- Atlassian — The enterprise technology stock soared more than 16% after exceeding consensus forecasts for earnings and issuing strong guidance.
— Alex Harring
S&P 500 futures are little changed
S&P 500 and Dow futures edged higher by around 0.1% each slightly after 6 p.m. ET. Nasdaq 100 futures, meanwhile, added 0.3%,
— Alex Harring