US stocks roughly wavered early Thursday as concerns about Big Tech continued to dog markets and private jobs data showed a tough month for layoffs in October.
The S&P 500 (^GSPC) and the Dow Jones Industrial Average (^DJI) both held nearly flat, while the tech-heavy Nasdaq Composite (^IXIC) lost a bit over 0.1%.
As of 10:01:03 GMT-5. Market open.
^GSPC ^IXIC ^DJI
The market received bearish data on jobs Thursday morning, as a report from the global outplacement firm Challenger, Gray & Christmas showed that last month was the worst October for layoff announcements since 2003. Companies slashed roles to save money, pared back pandemic-era hires, and planned ahead for artificial intelligence, the report said. Employers announced 153,074 cuts last month, compared to 55,597 cuts in October 2024.
Meanwhile, investors are trying to parse mixed signals as they debate whether tech valuations are too lofty. Chipmaker Qualcomm (QCOM) posted strong earnings and upbeat guidance in after hours, but its stock slipped — reflecting investor disappointment. But at the same time, Arm (ARM) shares tipped higher after the chip designer credited AI demand for a quarterly revenue forecast that topped estimates.
That turns a spotlight on Tesla’s (TSLA) shareholder meeting, scheduled to start at 4 p.m. ET. A vote on Elon Musk’s proposed trillion-dollar pay package is the main event, amid worries he will quit as the EV maker’s CEO if the plan is rejected. Overall, though, investors will watch the outcome for signs the “Magnificent Seven” tech megacaps that include Tesla can continue to power this year’s rally in stocks.
Also, the market took note of skepticism from several Supreme Court justices on the legality of Trump’s sweeping trade tariffs, even though Treasury Secretary Scott Bessent said he was “very, very optimistic.” A ruling against the policy could roll back the duties, with enormous impact on international trade as well as domestic spending.
Wall Street is also calculating the fallout from the FAA’s decision to cut 10% of flights at 40 airports because of the federal shutdown, which entered its sixth week and record 37th day on Thursday. The move aims to keep travelers safe amid a shortage of air traffic controllers, who haven’t been paid for almost a month. The canceled flights add to already disruptive delays due to the staffing pressures.
On the earnings front, results from Warner Bros. Discovery (WBD), Airbnb (ABNB), and Moderna (MRNA) the standouts on Thursday’s docket.
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