Now Reading: Wall Street opens mixed as SpaceX and AMD shares fall
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Wall Street opens mixed as SpaceX and AMD shares fall
Wall Street futures pointed to a mixed session on Wednesday, Hindustan Times reported, with Dow E-minis up 116 points, or 0.21%, and S&P 500 E-minis up 19.75 points, or 0.25%, after both…
Wall Street futures pointed to a mixed session on Wednesday, Hindustan Times reported, with Dow E-minis up 116 points, or 0.21%, and S&P 500 E-minis up 19.75 points, or 0.25%, after both indices had recently set record highs, while Nasdaq 100 E-minis slipped 20.5 points, or 0.07%, on weak reactions to SpaceX and AMD. SpaceX's first earnings report since its public listing showed revenue nearly doubling and operating losses narrowing, yet its shares still dropped about 10% in premarket trading after executives said heavy spending would continue, with the stock also facing its post-IPO lock-up expiry on Thursday. AMD forecast quarterly revenue above expectations but fell roughly 8.1% regardless, a reaction linked to a share price already up about 142% this year. Tesla eased 0.8%, Nvidia gained 1.9% on SpaceX's plan to use its hardware exclusively for data centres, Intel and Micron each lost about 1.5%, and Microsoft and Alphabet barely moved.
Indian Opinion Analysis
AMD's slide despite a stronger-than-expected forecast, and SpaceX's despite improving results, both illustrate how far a stock's recent run can outpace what any single earnings update can satisfy: AMD's shares had already gained about 142% this year, and SpaceX's own executives are the ones flagging that heavy spending will continue. Traders were pricing in a 58.4% chance of a Federal Reserve rate hike in September, according to the CME FedWatch Tool cited in Hindustan Times's report, leaving room for these moves to reverse on a single data point. SpaceX's post-IPO lock-up expires on Thursday, freeing insiders to sell, and that day will show whether Wednesday's drop was a one-day reaction or the start of sustained pressure.
Source: www.hindustantimes.com
This brief was synthesised by AI from the source linked above.
