United States stock futures drifted lower on Wednesday night (Thursday AEDT) as investors assessed a heavy slate of third-quarter earnings and fresh developments on trade policy.
By 9:55 am AEDT (10:55 pm GMT), Dow futures were 0.2% lower, S&P 500 futures remained flat, while Nasdaq 100 futures ticked up 0.1%.
A series of major earnings reports after the closing bell shaped sentiment, with mixed performances across key sectors.
Tesla shares dipped 3.6% after reporting third-quarter results that topped revenue expectations but missed on profit.
The electric vehicle maker posted adjusted earnings per share of $0.50, short of market expectations of $0.55, despite a 12% rise in revenue to US$28.09 billion on stronger automotive sales.
IBM dropped 4% in extended trading after its software division delivered in-line results. While the company beat top and bottom line estimates, earning $2.65 per share on $16.33 billion in revenue, its software growth lagged.
Meanwhile, Southwest Airlines gained 1.5% after delivering an unexpected quarterly profit. The carrier reported adjusted EPS of $0.11, exceeding expectations for losses of $0.04 per share, as both demand and fares improved.
Casino and resort operator Las Vegas Sands surged 5.4% after posting adjusted EPS of $0.78 on $3.33 billion in revenue, easily beating forecasts and issuing an upbeat outlook for the fourth quarter.
Aluminium producer Alcoa slipped 0.9% after reporting a mixed set of results. The company’s adjusted loss of 2 cents per share was slightly narrower than expected, though its $3 billion in revenue missed consensus forecasts of $3.09 billion.
Molina Healthcare shares plunged 18.9% after the managed care provider reported sharply weaker-than-expected EPS of $1.84, well below estimates of $3.90. Revenue, however, came in stronger at $11.48 billion versus expectations of $10.97 billion.
The market’s cautious tone was reinforced by comments from Treasury Secretary Scott Bessent, who said the White House is considering new restrictions on software exports to China.
The potential move would expand on President Donald Trump’s recent declaration that export curbs on “any and all critical software” will take effect by 1 November.
In the previous session, all three major U.S. indices had finished lower, with the Dow down 0.7%, the S&P 500 off 0.5%, and the Nasdaq Composite falling 0.9% amid a rotation out of risk-sensitive assets.
Looking ahead, traders are focused on upcoming U.S. inflation data due Friday, which could influence expectations for the Federal Reserve’s next move.
