Tech earnings sink Nasdaq 1.4%; futures slide after Amazon, Intel misses
Friday, October 30, 2026 · as of Oct 30, 6:27 AM ET · covers the prior trading session
The Nasdaq fell 1.38% Thursday as Alphabet dropped 12.6% on weak search and ad sales, while the Russell 2000 rose 1.01% and Treasury yields fell 6–7 bp despite a stronger-than-expected Q3 GDP print. Overnight, Amazon and Intel slid after hours, pulling Nasdaq 100 futures down about 1.6% and dragging the KOSPI and Nikkei lower.
Key numbers
What mattered yesterday
- Alphabet fell 12.6% after weaker-than-expected search and ad sales revived worries that AI could erode its core business; Caterpillar dropped about 9.3%. Trading Economics
- Rotation, not a rout: the Nasdaq lost 1.38% while the Russell 2000 gained 1.01%, led by health care (+2.71%) and financials (+1.90%). Tapeboard
- Q3 GDP (advance) grew 3.4% annualized vs 3.2% expected; September PCE inflation was 3.6% y/y and core PCE 0.3% m/m, both in line; jobless claims were 194K vs 199K expected. Trading Economics calendar
- Treasuries rallied anyway: the 2-year fell 6 bp to 4.61% and the 10-year 7 bp to 4.98%. U.S. Treasury
- After the bell, Amazon slid about 7% on an earnings and revenue miss plus a sharp capex increase, and Intel sank 23% on weak guidance. Trading Economics
Market snapshot
Why it mattered
Reported: Big-tech results, not macro data, set the tone: Alphabet's slide and Amazon's and Intel's after-hours drops pushed AI-linked chip stocks lower across Asia and Europe, with ASML down about 5% this morning (TE). Q3 growth beat forecasts and inflation matched them (TE calendar). Copper slipped on tech-demand worries and talk of a possible Fed hike (TE).
Our read (commentary, not investment advice): Money is leaving the AI winners rather than leaving stocks, which is why small caps and defensives rose. Falling yields on a strong GDP print suggest bond buyers care more about the tech-led wobble than the growth beat. Crude above $100 keeps inflation risk alive.
Today's calendar
- 8:30 ET — Employment Cost Index Q3 (consensus 0.8%, prior 0.9%)
- 9:45 ET — Chicago PMI, October (consensus 56.1, prior 58.8)
- 12:30 ET — Fed's Musalem speaks
- Before open — earnings from Exxon Mobil, AbbVie, Chevron (Digrin)
- Already out: Bank of Japan held rates; euro-area Q3 GDP flash +0.4% q/q vs 0.2% expected (TE calendar, TE)
Business lens
- Dairy (USDA, week ending Oct 24, vs prior week): 40-lb block cheddar $1.4178/lb (+3.1¢), butter $1.3627/lb (+0.9¢), nonfat dry milk $2.0538/lb (+5.8¢), dry whey $0.7374/lb (+1.2¢); barrel cheese unavailable (USDA AMS). September FMMO all-market average: Class III $16.04/cwt, Class IV $18.94/cwt (USDA AMS). CME spot dairy and Class III futures: unavailable.
- Feed (live quotes ~6:25am ET): soybeans 1,218.5¢/bu (-0.10%), wheat 605.6¢/bu (+0.31%) (TE); corn and soybean meal settles unavailable.
- Fuel: U.S. on-highway diesel $6.352/gal, week of Oct 26, up 7.6¢ vs the prior week (EIA).
- Freight: unavailable.
- Rates: the Fed held Oct 28; EFFR 3.88%, SOFR 3.94% (NY Fed).
Our read (commentary): Butter near $1.36 keeps the butterfat side of Class IV weak; strong nonfat dry milk is what's holding Class IV above Class III. Weekly cheese and butter prices both edged up, a small plus for future Class III. Diesel above $6.30, with crude back over $100, keeps delivery costs the biggest pressure on margins.