Nasdaq futures fall 1.7% as oil rises and tech earnings diverge
Key Facts
Nasdaq 100 futures fell 510 points, or 1.7%, on the morning of October 22, 2026, according to Investing.com, as oil rose and U.S. technology companies reported mixed results. S&P 500 futures fell 1% in early European trading, according to the Associated Press. Brent crude rose 3.2% to $112.27 a barrel in early trading the same day. The moves coincided with an Iranian television report that oil tankers had caught fire and sustained damage in the Strait of Hormuz, carried by the agency. Developments in the strait thus joined corporate earnings as the backdrop to morning trading in equities and energy. The futures decline followed a 1.1% rise in the Nasdaq Composite in Wednesday's October 21 session, according to AP.
In corporate earnings, Tesla shares fell 3.2% in after-hours trading on October 21 following its results announcement, according to AP. Financial statements published on the company's investor relations website showed revenue of $28,046 million in the third quarter of 2026. Revenue was below $28,095 million in the same period a year earlier and $28,236 million in the second quarter of this year. Net income attributable to common stockholders was $787 million, compared with $1,373 million a year earlier, according to the same statements. Profit also fell from $1,114 million in the preceding quarter, leaving both revenue and profit lower on a year-on-year and quarter-on-quarter basis. Tesla cut its 2026 capital expenditure estimate to $20 billion from $25 billion previously, according to AP.
Meta reported revenue of $64.60 billion in the third quarter of 2026, up 26% year on year, according to AP. Revenue rose from $51.24 billion in the corresponding period a year earlier, beating Wall Street analysts' expectations of $63.34 billion. In its advertising business, ad impressions increased 10% year on year, according to Investing.com's coverage of the company's earnings presentation. The average price per ad rose 14% over the same period, with growth in impressions accompanied by higher prices. The company, however, recorded negative free cash flow of $2.1 billion in the third quarter, according to Investing.com. Meta narrowed its 2026 capital expenditure forecast to between $135 billion and $145 billion from a previous range of $130 billion to $145 billion, raising the lower end while leaving the upper end unchanged. The company expects revenue of between $73 billion and $76 billion in the fourth quarter of 2026, according to Investing.com's coverage of its guidance.
In semiconductors, Lam Research reported revenue of $8.22 billion for the quarter ended September 27, 2026, according to its earnings release issued on October 21. Its chief executive said "artificial intelligence is driving semiconductor demand higher." For the quarter ending December 27, 2026, the company expects revenue of $8.60 billion, plus or minus $400 million. It forecast diluted earnings per share of $2.33, plus or minus $0.15 per share. The GAAP and adjusted earnings-per-share guidance ranges are identical, according to the company's statement.
In the U.S. labor market, seasonally adjusted initial jobless claims totaled 199,000 in the week ended October 10, according to the U.S. Labor Department. Claims rose by 1,000 from the previous week's revised level. The department said the total represented "an increase of 1,000 from the previous week's revised level." The Forex Factory calendar lists a forecast of 200 thousand claims for the next jobless claims release. That reading is scheduled for release on October 22, 2026, according to the calendar.