U.S. equity futures opened the Thursday session in the red as market participants digested a fresh tranche of technology company reports and monitored geopolitical developments that lifted crude prices above $98 per barrel. By 05:44 ET (09:44 GMT), Dow Jones Futures had fallen about 200 points, or 0.4%, S&P 500 Futures were down roughly 27 points, or 0.4%, and Nasdaq 100 Futures had slipped about 108 points, or 0.4%.
The market pullback followed a continuation of a mixed technology earnings season, where investors remain focused on whether corporate results can sustain the elevated valuations that have been supported by artificial intelligence-related demand. At the same time, renewed tensions in the Middle East supported a rebound in crude prices, which has prompted renewed concerns about inflation and the implications for global growth.
Notable premarket movers
- Vita Coco - The coconut water maker jumped 8.8% in premarket trading after reporting second-quarter results that outpaced Wall Street expectations. Net sales rose 28% year-over-year to $216 million, while adjusted EBITDA increased to $67 million, topping analysts' estimates of about $45 million. Gross margin expanded to 49% from 36% a year earlier, a sign of stronger pricing power and improved operating efficiency.
- Hut 8 - Shares rose 6.0% after Morgan Stanley initiated coverage with an Overweight rating and set a Street-high price target of $263. The brokerage highlighted growing demand for AI infrastructure, which supported premarket buying interest.
- Dow Inc. - The exchange operator slipped 2.8% despite reporting better-than-expected second-quarter results. Adjusted earnings per share came in at $1.44, above an estimate near $1.25, and revenue of $12.09 billion also slightly exceeded forecasts. The company attributed part of the performance to higher prices and volumes tied to supply disruptions related to the Middle East conflict.
- Mobileye - The autonomous driving technology company fell 4.4% after announcing that founder and Chief Executive Amnon Shashua plans to step down once a successor is named. The leadership transition overshadowed an otherwise strong earnings report: adjusted earnings were $0.19 per share, versus expectations around $0.06, and revenue of $508 million topped forecasts. The company also raised its full-year revenue outlook, though sales were flat year-over-year.
- Domo - The stock surged about 21% after the company disclosed that Progress Software will acquire substantially all of its assets and certain liabilities for $400 million in cash. The transaction covers Domo's technology platform, customer contracts, intellectual property and employees, and follows a strategic review conducted by Domo's board. Investors reacted favorably to what they viewed as a takeover premium.
The early trading moves underscore how a handful of corporate-specific developments can drive outsized premarket swings even as broader macro risks remain in focus. Technology names, in particular, continued to face scrutiny over whether reported results justify valuations that have been buoyed by the AI narrative. At the same time, energy-price dynamics tied to geopolitical tensions have returned to the foreground as an inflationary risk for markets.
Investors will likely continue to monitor incoming earnings and geopolitical headlines for cues on the path of oil prices and the potential knock-on effects for corporate margins and economic growth. For now, futures and the mix of individual stock reactions indicate a market parsing both idiosyncratic corporate news and broader macro uncertainties.