The U.S stock futures moved higher ahead of the open Thursday, boosted by mega-cap tech stocks, pointing to a possible turnaround for the indexes.
Futures tied to the S&P 500 GSPC added 0.7%, while futures on the Dow Jones Industrial Average DJI went up 0.6%. Contracts on the technology-heavy Nasdaq Composite IXIC rose by 1.1%.
The yield on the 10 year U.S. Treasury note was down 3.59% on Thursday morning. The dollar index weakened against the euro on Thursday, trading at $102.85.
Stocks closed lower Wednesday after recent Fed officials spoke, signaling that interest rate hikes are likely to continue and could remain elevated for a longer period.
Some of the standout comments came from Federal Reserve Governor Christopher Waller, who said that an effort to reach the central bank's 2% target might be a long fight. New York Fed President John Williams suggested that more hikes may be needed as interest rates were barely in restrictive territory. The data point on jobless claims will give investors more insight on the labor front before the bell. Claims are expected to come in at 190,000 for the week ending February 4, higher from the week before 183,000.
After the company reported an earnings beat, shares of Disney DIS rose over 6% and revealed new restructuring plans that include eliminating 7,000 jobs and trimming $5.5 billion in costs.
The world's largest entertainment company delivered an adjusted earnings per share of $0.99, higher than the Street's estimates of $0.74 cents per share. Revenue jumped to $23.5 billion against forecasts of $23.4 billion.
Alphabet GOOG, GOOGL shares went up 1% on Thursday morning after Google unveiled a number of new AI-powered features for its Search, Maps, and Lens apps.
Affirm AFRM stock fell 19% in premarket trading after the company announced a 19% reduction of its staff. The company posted a wider than expected loss per share, as the buy-now-later company posted a wider-than-expected loss per share. Revenue came in at $399.6 million against estimates of $146.9 million.
Robinhood HOOD shares rose 5% after the company reported quarterly earnings that came in below expectations, as revenue reached $380 million, against $389 million analysts forecasts.
The Tesla TSLA shares climbed 3% Thursday morning after a government report found that the fatal Tesla crash in 2021 was caused by excessive speed, not by Tesla's advanced driver-assistance features.
PepsiCo PEP shares rose 1% before the opening bell after the snack and drink giant posted an earnings beat, with earnings per share of $1.67 compared to $1.65 expected by analysts. Revenue came in at $28 billion, against $26.84 billion forecasted.
Earnings on the deck for Thursday included Kellogg K Lyft LYFT and PayPal PYPL. In corporate news, JPMorgan also joined a number of companies making a shift in its workforce. The bank is looking to add 500 small-business positions in the next two years, laying off hundreds of mortgage employees.
According to Andrew Tyler, US Market Intelligence team at JP Morgan, investors will be prepared for Tuesday s CPI print, given a lack of catalytic information this week. In 2022, bond volume went to its largest increases around the CPI and Fed Days, which may cause us to have a choppy next few trading sessions.