On Thursday, US benchmark equity indexes were poised to close lower, influenced by a notable drop in Microsoft shares following its earnings report. The Nasdaq Composite declined by 2.4% to 18,162.1, while the S&P 500 fell by 1.6% to 5,723.4. The Dow Jones Industrial Average recorded a decrease of 0.6%, settling at 41,871.7.
Among various sectors, the technology sector experienced the most significant decline, whereas utilities led the gainers. Tech titans Apple and Amazon, alongside Intel, are expected to announce their latest quarterly financial results after the market closes. Microsoft shares were down by 5% leading into the close of the trading day.
Late on Wednesday, Microsoft indicated that it anticipates a revenue growth of 31% to 32% for its Azure cloud-computing segment in fiscal Q2, expressed in constant currency. For the reported quarter, the company revealed a remarkable 34% annual increase for Azure and other cloud services, also in constant currencies.
In the bond market, the US two-year yield rose by 1.8 basis points to 4.17%, while the 10-year yield saw a 1.6 basis point increase to 4.28%. Consumer spending in the US surged in September, surpassing expectations, while the Federal Reserve's favored inflation measure remained stable at the annual level, as per government data.
Meanwhile, West Texas Intermediate crude oil prices increased by 3% to $70.65 per barrel..