Nasdaq futures fall 0.3% as AI stocks falter and Brent rises
Key Facts
Nasdaq futures fell 0.3% before the U.S. market opened on Tuesday, October 20, 2026, according to Dow Jones, as a recovery in artificial intelligence stocks faltered. CoreWeave shares dropped 2.9% in premarket trading, part of a decline in companies tied to the sector's infrastructure. Dow Jones said rising oil prices added pressure on investor sentiment during trading. In Europe, ABB shares fell more than 6% on Tuesday morning, despite the company raising its full-year guidance. Tuesday's moves combined declines in AI-related stocks with rising energy prices, following gains in U.S. indexes in the previous session.
In the oil market, Brent futures stood at $110.80 a barrel at 08:10 GMT on Tuesday morning, according to Reuters. The crude rose $1.25 a barrel, or 1.1%, during the trading covered by the agency. The rise came after Brent ended Monday's session at $109.55 a barrel, down 0.3%, according to the Associated Press. West Texas Intermediate crude stood at $104.80 a barrel, up $1.14, or 1.1%, remaining below the $110 level that Brent had surpassed. Reuters linked the price rise to the pricing in of a geopolitical risk premium, citing "reports of attacks on ships in the Gulf."
ABB's results showed operational earnings before interest, taxes and amortization rose to $2.03 billion in the third quarter, according to Investing.com. The operating metric grew 24% from the same period a year earlier. By contrast, net profit attributable to the company was about $1.18 billion for the quarter. Net profit fell 2% year on year, compared with the increase in operating earnings. It also missed analysts' expectations of $1.42 billion, according to figures the website cited from the company's results and market estimates.
The Nasdaq Composite had risen 1.1% in Monday's session, according to the Associated Press, before futures declined on Tuesday. The S&P index gained 0.4% in the same session. But most U.S. stocks outside the AI and technology sectors fell on Monday, according to the agency, despite gains in both indexes. In South Korea, the Kospi fell 3.7% during Tuesday's session, according to the Associated Press report on global markets. Shares in South Korean data center company Elice dropped about 33% in their first trading session, according to Dow Jones.
In the U.S. bond market, the 10-year Treasury yield rose to 5.14% during Monday's session, according to the Associated Press. The yield had stood at 5.09% late on Friday, before rising at the start of the week. Meanwhile, market pricing favored the Federal Reserve holding interest rates steady at its October meeting. The probability of a hold stood at 92.8%, according to London Stock Exchange Group data cited by Dow Jones on Tuesday. That pricing centered on the October meeting decision, as markets also awaited results from AI-related companies.
On infrastructure spending, Reuters cited Goldman Sachs forecasts for an increase in combined capital expenditure by major cloud computing and AI companies. The estimate covers five companies, including Meta. The bank expects the group's spending to reach about $1.2 trillion next year, according to the report published on Tuesday. The forecasts come during the AI company earnings season that markets are watching, according to Reuters. Markets await Meta's results on the Wednesday following Tuesday's trading, the next milestone in the sector's announcements.