Nasdaq futures edged lower on Wednesday as Netflix kicked off quarterly earnings for technology behemoths with a disappointing report, while concerns about a surge in global coronavirus cases hit demand for equities.
The streaming service provider tumbled 8.1% in premarket trading after its report showed slower production of TV shows and movies during the pandemic hurt subscriber growth in the first quarter.
Wall Street closed lower in the previous session as a global spike in coronavirus cases hit travel-related shares and investors had second thoughts about big U.S. banks’ apparently stellar earnings last week.
Global stocks were also subdued on Wednesday due to rising concerns over spiking COVID-19 infections in Asia and their impact on oil prices. [MKTS/GLOB]
With the first-quarter earnings season picking up pace, analysts expect profit for S&P 500 companies to jump 30.9% from a year earlier, according to Refinitiv IBES data.
At 6:57 a.m. ET, Dow e-minis were up 30 points, or 0.09%, S&P 500 e-minis were up 3.25 points, or 0.08%, and Nasdaq 100 e-minis were down 12 points, or 0.09%.
Anthem Inc rose 2% after the health insurer raised its profit target for 2021, as strength in its pharmacy benefits management business helped it beat estimates for first-quarter earnings.
U.S. railroad operator CSX Corp fell 0.9% after it missed estimates for first-quarter profit, hurt by frigid polar vortex temperatures, ongoing pandemic disruptions and higher fuel costs.
Reporting by Shreyashi Sanyal in Bengaluru; Editing by Anil D’Silva
Source: Reuters