As Wall Street got ready for a speech by the top Federal Reserve official and combed over the most recent quarterly earnings reports, stock futures inched lower on Thursday morning.
73 points, or 0.2%, were lost in futures linked to the Dow Jones Industrial Average. Futures for the Nasdaq 100 and S&P 500 both fell by 0.1% and 0.2%, respectively.
Tesla, a leading manufacturer of electric vehicles, fell 4% after the company’s third-quarter revenue and profitability fell short of forecasts. Additionally, CEO Elon Musk issued a caution that the company’s Cybertruck won’t generate any positive cash flow for more than a year after production begins.
While all was going on, shares of Netflix rose 13% after the streaming behemoth reported third-quarter earnings that exceeded expectations. Strong ad-tier subscriptions gave the company a lift.
As Treasury yields soared to multiyear highs, Wall Street experienced a sharp sell-off. The yield on the 10-year Treasury bond reached 4.9%, which was a 16-year high. The 30-stock Dow lost more than 330 points, or 0.98%, while the S&P 500 fell 1.3% in response. The Nasdaq Composite underperformed, declining 1.6%.
Source (CNBC)