Futures slide as AI worries return, Tesla drops 5%, and Brent holds above $112
Five things to know before the open on Thursday, October 22.
Five things to know before the open.
1. Futures fall as AI spending worries resurface
Nasdaq 100 futures were down about 1.7%, S&P 500 futures about 1.1% and Dow futures about 0.7% around 7:15 AM ET, giving back part of Wednesday's tech-led rally. Chip stocks led the premarket declines: Intel fell about 5% and Lam Research about 8%, and Nvidia, AMD, Micron and Broadcom also dropped. SpaceX and Super Micro Computer fell roughly 2% and 5%, cooling after Wednesday's surge. For the close, see our Dusk Ledger, and for the overnight picture see First Light.
2. Tesla falls about 5% on a lower spending forecast
Tesla traded near $367 in the premarket after cutting its 2026 capital-spending forecast to about $20 billion from more than $25 billion, raising questions about the pace of its AI and robotics buildout. Net income fell 29% in the quarter even as revenue beat estimates, and Elon Musk declined to add anything new about a possible merger with SpaceX. More in our Tesla story.
3. Meta slips despite a revenue beat
Meta fell about 1% to 2% premarket even though third-quarter revenue rose 26% to $64.6 billion, above estimates, and its current-quarter forecast topped expectations at the midpoint. The quarter included a large legal settlement charge, and the company raised its AI spending plans and said it would create a new class of non-voting shares to help fund them. More in our Meta story.
4. Brent holds above $112 after deadly attacks in Saudi Arabia
Brent crude was up about 3% above $112 a barrel, near a five-month high, and WTI approached $100, after Houthi attacks in Saudi Arabia on Wednesday: a drone strike on an oil field that killed two people and an attack on the international airport in Dammam that killed one person and injured eight, according to Saudi authorities. The U.S. is pulling some diplomatic personnel from the kingdom. Details in our oil story. On today's calendar: weekly jobless claims at 8:30 AM ET.
5. IBM slides despite a beat, while Lockheed and Spotify climb
IBM fell about 6% premarket even though earnings and revenue topped estimates, as its gross margin came in light. Lockheed Martin gained about 2.5% after raising its 2026 sales and profit outlook for a second straight quarter and reporting a record $292 billion backlog, lifted by a $52.5 billion multiyear missile-interceptor award. Spotify rose about 4% after forecasting current-quarter operating income above expectations. Procter & Gamble, Comcast, American Airlines, Blackstone and Honeywell also report before the bell.
