Stock futures were little changed on Thursday as a fresh economic data gave investors some hope of easier Federal Reserve policy later this year. That enthusiasm, however, was slightly dampened by a slate of disappointing earnings.
Futures tied to the Dow Jones Industrial Average slid 85 points, or 0.2%. S&P 500 futures were down 0.1%, while Nasdaq 100 futures pulled back about 0.1%.
Weekly jobless claims came in at the highest level since August, sending yields lower and raising expectations that central bankers might cut interest rates at some point this year.
A fresh batch of quarterly earnings reports came out below Wall Street’s expectations. Warner Bros Discovery shares slid 4.4% after reporting a miss on the top and bottom lines, while semiconductor company Arm lost more than 7.5% over lackluster revenue guidance. Airbnb pulled back more than 9% after a weak guidance overshadowed a first-quarter beat.
Wall Street is coming off a mixed session, with the Dow notching a six-day winning streak and the S&P 500 closing lower for the first time in five days.
“We probably are just retracing some of the enthusiasm that we came into the start of the year with,” said Josh Brown, CEO of Ritholtz Wealth Management, on “Closing Bell.” “April was the worst month that we’ve seen in quite a while, and I think that was really a precursor to some of the reactions we’re now getting after earnings reports.”