Stock futures fell Thursday as Oracle’s results reignited fears about high-flying tech stocks even after the Federal Reserve’s latest interest rate cut gave a boost to U.S. equity markets in the prior session.
Futures for the Dow Jones Industrials gave back 31 points, or 0.1%, to 48,076.
Futures for the S&P 500 skidded 28 points, or 0.4%, to 6,863.75.
Futures for the NASDAQ dropped 163.75 points, or 0.7%, to 25,634.25.
Oracle shares tumbled 11% after the cloud computing company posted disappointing quarterly revenue and raised its spending forecast. The report added more fuel to the debate about how quickly tech companies will be able to see returns on their AI investments.
Other AI plays were also trading lower in extended trading, including Nvidia, which was down 1%, and CoreWeave, which fell more than 2%.
Stocks rose in Wednesday’s session and got a lift after a divided Fed announced an interest rate cut for the third time this year and ruled out a rate hike. The central bank’s Federal Open Market Committee cut its key overnight borrowing rate by a quarter percentage point to a 3.5%-3.75% range and signaled a slower pace of rate cuts ahead.
Overseas, the Nikkei 225 in Japan plummeted 0.9% Thursday, while in Hong Kong, the Hang Seng Index dropped more than 10 points.
Oil prices faded 69 cents to $57.77
Gold prices built up $14.00 to $4,224.90.
