Nasdaq futures drop after Intel’s margin warning

Merchants work on the ground of the New York Inventory Alternate (NYSE) in New York, United States, October 20, 2021. REUTERS / Brendan McDermid

  • Futures: Nasdaq down 0.17%, Dow up 0.09%, S&P up 0.08%

October 22 (Reuters) – Futures on the Nasdaq edged down on Friday after chipmaker Intel warned of decrease revenue margins, whereas Snap Inc led declines amongst social media corporations after reporting a digital promoting hit on account of Apple’s privateness adjustments.

Intel Corp (INTC.O) slipped 10.3% in pre-market buying and selling because it missed third-quarter gross sales expectations, whereas its chief government pointed to a scarcity of different chips holding again gross sales of the corporate’s flagship processors. Learn extra

Provide chain considerations, inflationary pressures and labor shortages had been on the heart of the third quarter earnings season, with analysts anticipating S&P 500 earnings to rise 33 , 7% year-on-year, in keeping with information from Refinitiv.

Some analysts, nonetheless, have stated such considerations will solely have a brief affect on the earnings of mega-cap tech and communications corporations this season.

“Intel has additionally produced lower than stellar outcomes. Quick-tech has been a great way to lose cash over the previous couple of years, and I solely count on a brief aberration,” wrote Jeffrey Halley , Senior Market Analyst, Asia-Pacific at OANDA in a consumer observe.

Fb Inc (FB.O) fell 3.7%, whereas Twitter Inc (TWTR.N) misplaced 4.1% after Snap Inc (SNAP.N) stated change of privateness by Apple Inc (AAPL.O) on iOS units hamper an organization’s potential to focus on and measure its digital promoting. Learn extra

Snap fell 20.9% on information and questioned subsequent week’s quarterly experiences from Fb and Twitter, social media corporations that rely closely on advert income.

The apple rose 0.2%. Different progress shares, together with Tesla Inc (TSLA.O), Microsoft Corp (MSFT.O) and Netflix Inc (NFLX.O) additionally elevated, limiting declines on the Nasdaq 100 e-minis.

As of 6:47 a.m. ET, Dow e-minis had been up 33 factors, or 0.09%, S&P 500 e-minis had been up 3.5 factors, or 0.08%, and e-minis Nasdaq 100 had been down 26.75 factors, or 0.17%.

Mattel Inc (MAT.O) jumped 8.2% after elevating its gross sales forecast for 2021 on Thursday, saying it could overcome industry-wide transport disruptions. Learn extra

Honeywell Worldwide Inc (HON.O) fell 2.1% after the commercial conglomerate slashed full-year gross sales and adjusted revenue forecasts amid disruptions within the world provide chain. Learn extra

Report by Shreyashi Sanyal in Bengaluru; Modifying by Arun Koyyur

Our requirements: Thomson Reuters Belief Ideas.

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