Stocks opened lower after a disappointing first round of technology earnings made investors more cautious looking toward the second half of the week.
The Nasdaq 100 and S&P 500 opened down 2.3% and 0.9%, respectively, as tech companies provided downward pressure. The Dow Jones Industrial Average added 29 points, or 0.1%, with Visa buoying the index after beating expectations on earnings and revenue when reporting its fourth-quarter earnings.
Shares of Google-parent Alphabet dropped 8%. The online search giant missed expectations on the top and bottom lines. Alphabet also reported a decline in YouTube ad revenue, which spurred investors to deliberate the outlook for other tech companies that rely on ad spending.
Meanwhile, Microsoft declined about 8% after the tech giant reported weaker-than-expected cloud revenue in its latest quarterly results, despite beating earnings and revenue estimates. The company also issued current-quarter revenue guidance that fell short of expectations.
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