Futures dip as Amazon warns of slowdown in cloud segment
U.S. stock index futures dipped on Friday as Amazon’s warning about a slowdown in its cloud business and downbeat forecasts from Snap and Pinterest dented Wall Street sentiment after a rally in the previous session.
Amazon.com Inc (AMZN.O) shares slipped 1.1% in premarket trading as the company signaled its cloud growth would slow further, overshadowing its better-than-expected quarterly results.
Snapchat-owner Snap Inc (SNAP.N) tumbled 18.9% as it warned next quarter results could miss Wall Street targets, while Pinterest Inc dropped 13.4% after the image-sharing platform forecast second-quarter revenue growth below analysts’ estimates as advertising spending declines.
The weak updates followed stronger-than-expected earnings from big technology and growth companies this week including Alphabet Inc (GOOGL.O), Microsoft Corp (MSFT.O) and Meta Platforms Inc (META.O) which led analysts to improve first-quarter profit estimates for S&P 500 companies.
The main U.S. indexes ended up sharply on Thursday, with the benchmark S&P 500 (.SPX) logging its biggest one-day percentage gain since early January.
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