United States stock futures were little changed on Wednesday night (Thursday AEDT) after the Dow Jones Industrial Average snapped a three-day winning streak in the previous session.
By 10:55 am AEDT (11:55 pm GMT) Dow futures and S&P 500 futures were trading slightly below the flatline, while Nasdaq 100 futures slipped 0.2%.
In extended trading, Cisco Systems fell 7.3% despite delivering quarterly results that beat expectations on both revenue and earnings.
McDonald’s shares edged less than 1% lower after the fast-food chain reported adjusted fourth-quarter earnings of $3.12 per share on revenue of $7.01 billion. Markets had expected earnings of $3.05 per share on revenue of $6.84 billion.
AppLovin declined 6.5% in after-hours trading even after the mobile technology company surpassed estimates. The group posted fourth-quarter earnings of $3.24 per share on revenue of $1.66 billion, ahead of forecasts for $2.95 per share on revenue of $1.61 billion.
The overnight moves followed a subdued session on Wall Street. The Dow fell more than 66 points, or 0.1%, the S&P 500 finished marginally lower, while the Nasdaq Composite lost about 0.2%.
Equities initially rallied earlier in the day after a stronger-than-expected jobs report. January nonfarm payrolls rose by 130,000, well above forecasts and significantly higher than December’s downwardly revised gain. The unemployment rate eased to 4.3% from 4.4%.
The data reassured investors concerned about a potential deterioration in labour market conditions after recent indicators pointed to slowing growth in what some economists describe as a “no hire, no fire” environment.
However, robust payroll growth also complicates the Federal Reserve’s interest rate outlook. A resilient labour market could reduce the urgency for rate cuts, particularly if inflation remains elevated.
That places added focus on Friday’s consumer price index release, which is expected to provide further clarity on the balance between inflation and employment under the Fed’s dual mandate.
Further labour market data is due later in Thursday's U.S. session, with the release of weekly jobless claims, alongside the latest existing home sales figures.
