To The Moon

U.S. stock index futures fell on Thursday with the Nasdaq Composite set to fall deeper into correction territory as Meta became the latest tech company to report quarterly results that did not quite live up to investors’ expectations.

Market Snapshot

At 07:45 a.m. ET, Dow e-minis were down 147 points, or 0.44%, S&P 500 e-minis were down 31.25 points, or 0.74%, and Nasdaq 100 e-minis were down 147.25 points, or 1.02%.

Pre-Market Movers

$Meta Platforms, Inc.(META)$ - Stocks slid nearly 4% in premarket trading. It posted Q3 earnings that beat analysts' expectations but the company's chief financial officer about weaker advertising demand so far in Q4.

$IBM(IBM)$ - Stocks rose over 1% in premarket trading. Q3 earnings edged Wall Street estimates, and the company's CEO said IBM's push into AI was starting to pay off.

$Ford(F)$ - Stocks rose over 2% in premarket trading. The United Auto Workers union said it reached a tentative contract agreement with the auto maker. The four-year deal still needs approval from the 57,000 union members at Ford.

$XPeng Inc.(XPEV)$ - Stock rose over 2% in premarket trading. The company’s international version of its smart electric sedan, XPENG P7, has been awarded a five-star safety rating in the 2023 Euro NCAP tests.

$AMTD Digital Inc.(HKD)$ - Stocks once rebounded over 3% in premarket trading. It has authorized an extension of the existing share repurchase authority until the end of the last business day of the first quarter in 2024.

$Align Technology(ALGN)$ - Stocks tumbled over 23% in premarket trading. It reported Q3 adjusted earnings and revenue that missed analysts' estimates. The company said the results reflected "lower-than-expected demand and a more difficult macro environment than we experienced in the first half of 2023."

$Endeavor Group Holdings Inc.(EDR)$ - Stocks surged over 22% in premarket trading. Silver Lake said it is working on a proposal to take the company private. Before that, the company said it was exploring strategic opportunities that could include a sale of assets.

$ServiceNow(NOW)$ - Stocks jumped nearly 4% in premarket trading. It posted better-than-expected Q3 adjusted earnings and raised its full-year financial guidance as it continued its aggressive push to add generative AI across its product line.

Market News

$Apple(AAPL)$ is planning an end-to-end overhaul of its AirPods lineup, refreshing a product category that’s emerged as one of the company’s biggest sellers. The changes will include a revamped version of Apple’s entry-level AirPods in 2024 and a new Pro model the following year, according to people familiar with the plan.

$Meta Platforms, Inc.(META)$ plans to spend boatloads on building out AI infrastructure next year, even as it admits that the advertising landscape could be choppy. It expects to unleash $30 billion to $35 billion on capital expenditures next year, above the $27 billion to $29 billion that management is targeting for this year.

$IBM(IBM)$'s Q3 revenue rose about 5% to $14.8 billion, compared to an estimate of $14.73 billion, according to LSEG data. Adjusted quarterly profit per share of $2.20 also beat estimates.

$Visa(V)$ and $MasterCard(MA)$ are facing a new round of regulatory challenges, with the Federal Reserve proposing lower caps on the fees banks and payment companies can charge merchants when consumers swipe their debit cards at checkout.

$Berkshire Hathaway(BRK.B)$ lifted its stake in $Occidental(OXY)$ in recent days, making its first purchase since late June. Berkshire bought 3.9 million shares, increasing its stake to 228 million shares worth $14.5 billion.

The United Auto Workers (UAW) union reached a tentative labor deal on Wednesday with $Ford(F)$, the first of Detroit's Big Three car manufacturers to negotiate a settlement to strikes joined by 45,000 workers since mid-September.

SK Hynix Inc. declared its opposition to a merger of Kioxia Holdings Corp. and $Western Digital(WDC)$, introducing more uncertainty to a landmark US-Japanese deal years in the making.

United Parcel Service agreed to acquire software and reverse logistics company Happy Returns from $PayPal(PYPL)$. Terms of the deal weren’t disclosed. The acquisition is expected to close in the fourth quarter.