Wall Street heads into Thursday, October 22, on the defensive. After a three-day winning streak for the S&P 500, stock futures fell sharply overnight as investors weighed earnings from Tesla and Meta Platforms, renewed doubts about artificial intelligence spending, and a jump in oil prices on fresh tension with Iran. Here is what happened while America slept, and what to watch once the opening bell rings at 9:30 a.m. Eastern (8:30 a.m. Central).
Where futures stand
By 5:16 a.m. Eastern, Investing.com reported, S&P 500 futures were down 80 points, or 1.0%; Nasdaq 100 futures were down 533 points, or 1.8%; and Dow futures were down 332 points, or 0.6%. CNBC’s 4:31 a.m. update showed a similar picture: S&P 500 futures off 1.02%, Nasdaq-100 futures down 1.8%, and Dow futures down 0.66%.
That reverses a good Wednesday. According to CNBC, the S&P 500 rose 0.58% to close at 7,757.17, the Nasdaq Composite gained 1.05% to 26,702.86, and the Dow Jones Industrial Average climbed 360.21 points, or 0.69%, to 52,856.09. SpaceX led the way after reporting a 161% jump in third-quarter revenue and saying that it and Tesla have formed special committees to discuss a merger.
Overnight: Asia and Europe in the red
Asian markets tumbled, led by technology shares, CNBC reported. Japan’s Nikkei 225 reversed early gains to close down 2.6% at 62,907.84, and the Topix fell 1.1% to 3,997.5. South Korea’s Kospi dropped 3.52% to 5,533.77. China’s CSI 300 lost 1.8% to 4,036.30, and CNBC noted the index has now fallen 20% from its June peak, putting it in bear-market territory after 10 straight weekly declines. Hong Kong’s Hang Seng was down 3% in its last hour of trade. The Bank of Korea held its policy rate at 3%.
Europe followed. The pan-European Stoxx 600 was down about 1% in morning trading and France’s CAC 40 was off about 1.3%, according to CNBC. French borrowing costs remain a worry: the 10-year French government bond yield rose to about 5.05%, after closing Wednesday around 5.02%, its highest level since 2002, as investors weigh unrest in France and the country’s budget deficit. Luxury house Hermès fell about 7% after reporting weaker demand from Chinese shoppers.
Oil jumps on Iran
Energy is the other big story. Investing.com reported that Brent crude futures were up 3.3% at $112.39 a barrel and U.S. West Texas Intermediate was up 2.5% at $99.64. The move followed a New York Times report that the United States and Israel have drawn up plans for renewed strikes on Iran after the November midterm elections. Analysts at Vital Knowledge flagged the risk that fighting could flare again and threaten Middle East oil supplies, Investing.com said.
Higher fuel costs are already showing up in corporate results. CNBC reported that Southwest Airlines cut its 2026 profit outlook on Wednesday, citing fuel, the third major carrier to trim guidance this month after Delta and United.
Big Tech earnings: Tesla and Meta
Tesla beat expectations on both lines, CNBC reported, earning an adjusted 48 cents a share on revenue of $28.05 billion against analysts’ estimates of 43 cents and $27.88 billion. But Investing.com reported that the company cut its longer-term goal for annual vehicle sales by the end of the decade to 5 million units, and now expects about $20 billion in capital spending this year versus a prior estimate of $25 billion. Tesla shares were down 4.59% in premarket trading as of CNBC’s 4:31 a.m. update.
Meta’s third-quarter revenue of $64.60 billion topped the $63.37 billion consensus, CNBC reported. Investing.com said the company guided for fourth-quarter revenue of $73 billion to $76 billion, narrowed its capital spending forecast to $135 billion to $145 billion, and announced plans for a new class of nonvoting stock to raise capital for its AI ambitions. Meta was up 0.74% premarket in CNBC’s update, though Investing.com later reported the shares had turned lower.
Chipmakers are under pressure. CNBC reported early premarket declines of more than 5% for Intel and Marvell, 3.5% for Micron, about 2.9% for Qualcomm, and 2.2% for Nvidia. Lam Research fell more than 5% after hours Wednesday on its outlook, and IBM swung lower after beating estimates.
On today’s calendar
Economic data (all times Eastern), per the weekly calendar published by eOption:
- 8:30 a.m.: Weekly initial jobless claims and continuing claims
- 10:00 a.m.: Leading economic index for September
- 10:30 a.m.: EIA weekly natural gas inventories
- 11:00 a.m.: Kansas City Fed manufacturing survey for October
Earnings before the open include Procter & Gamble, Lockheed Martin, Honeywell, Valero Energy, Union Pacific, Comcast, Blackstone, American Airlines, Dow Inc., Nasdaq Inc., Spotify, and PulteGroup. After the close, watch Western Digital, Newmont, Deckers, Boston Beer, VeriSign, and Bloom Energy, which CNBC says is expected to earn 69 cents a share on $1.07 billion in revenue, according to the FactSet consensus.
Key things to watch
Is the AI trade cracking or consolidating? Wednesday’s rally was built on SpaceX and AI optimism; overnight futures show not every investor is convinced. “Investors aren’t as impressed as they were before by big headline spending numbers given the increased scrutiny on how the infrastructure will be paid for,” Vital Knowledge wrote, as quoted by Investing.com.
Oil and Iran. With Brent above $112 and WTI near $100, energy prices remain the biggest pressure on household budgets and corporate margins. Any confirmation, or denial, of Iran’s claims about tankers in the Strait of Hormuz could move crude sharply.
Rates. The 10-year Treasury yield was about 5.12% on Wednesday morning, CNBC reported, with the Federal Reserve’s next interest rate decision due next week. A hot or cold jobless claims number could shift expectations.
Consumer health. Procter & Gamble’s results will be read as a check on the American shopper. Nestlé’s CEO told CNBC on Thursday that U.S. consumers “are stretched at the end of the month” and looking for value.
Defense and industry. Lockheed Martin and Honeywell report as Europe’s Thales raises its outlook on strong demand, including a 210% jump in Middle East orders over the first nine months of the year, CNBC reported.
Note: This preview is for general information only and is not financial advice. Futures and prices change quickly; quotes above are as of the times stated. Consult a licensed professional before making investment decisions.
Sources
- Investing.com: U.S. stock futures retreat as investors weigh Tesla, Meta earnings (updated Oct. 22, 2026, 5:39 a.m. ET)
- CNBC: Nasdaq futures down 1.8% as investors digest earnings from Meta and Tesla: Live updates (updated Oct. 22, 2026, 4:31 a.m. ET)
- CNBC: S&P 500 notches 3-day win streak, Nasdaq jumps 1% as SpaceX and Tesla rally (Oct. 21, 2026)
- eOption: Weekly Event Calendar, Oct. 19–23, 2026
- Investing.com: U.S., Israel prepare for renewed Iran strikes after midterm elections – NYT (Oct. 21, 2026)
