US Stocks Steady; Intel Plummets on Weak Outlook

Futures Steady While Intel Slides

U.S. stock index futures held steady in evening trading, pausing after a two-day rally on Wall Street. The market's recent gains were tempered by a significant post-market drop from Intel Corporation following its latest earnings report.

Market Context and Performance

Wall Street indexes rebounded this week, remaining near record highs. This recovery was fueled by continued optimism in technology stocks, particularly around artificial intelligence, and relief from easing geopolitical tensions. S&P 500 Futures fell a slight 0.1%, while Nasdaq 100 Futures dipped nearly 0.2%.

Intel's Disappointing Outlook

Intel Corporation (INTC) shares plummeted as much as 13.4% in extended trading. The sharp decline was triggered by an underwhelming first-quarter guidance that overshadowed stronger-than-expected December quarter earnings. The chipmaker projected breakeven earnings per share, missing analyst consensus.

Summary and What to Watch

Looking ahead, the market's focus will shift to upcoming earnings reports from major tech companies including Apple, Microsoft, and Tesla. Additionally, an upcoming Federal Reserve meeting will be closely monitored for signals on future monetary policy.

FAQ

Q: Why did Intel's stock price fall so sharply?
A: Intel's stock fell because its financial forecast for the first quarter was substantially weaker than analyst expectations, projecting lower revenue and minimal profit.

Q: What caused the recent stock market rally?
A: The rally was driven by strong performance in tech stocks and reduced geopolitical concerns after the U.S. softened its rhetoric on Greenland.

Source: Investing.com