Key facts
- Nasdaq futures dropped over 1% on Thursday.
- Tesla shares fell 5.3% after cutting its annual capital expenditure forecast.
- Meta's shares slipped 1.9% after introducing new non-voting shares.
- Brent crude climbed over 3% to $112 a barrel.
- IBM shares fell 5.7% despite raising its annual software revenue forecast.
Nasdaq futures slid more than 1% on Thursday as renewed concerns over the cost of artificial intelligence buildouts weighed on high-growth stocks. Tesla fell 5.3% after cutting its annual capital expenditure forecast, raising questions about its AI and robotics expansion. Meta's shares slipped 1.9% after the social media giant introduced new non-voting shares to fund its AI push, reviving investor scrutiny of the capital required. The 'Magnificent 7' stocks were also down, with Amazon.com declining 1.6% and Nvidia down 2.4%. Chip stocks dropped, with Intel down 5.1% and AMD, Qualcomm, Marvell Technology, Broadcom and Micron Technology slipping between 2.9% and 5.3%. At 04:56 a.m. ET, Dow E-minis were down 0.69%, S&P 500 E-minis were down 1.1%, and Nasdaq 100 E-minis were down 1.93%. Brent crude climbed more than 3% to $112 a barrel, near a five-month high, after Houthi attacks in Saudi Arabia stoked fears of supply disruptions and a wider Middle East conflict. A flight to safety pushed the 10-year yield down to around 5.085%. Bitcoin fell 3.4%, reflecting a broader risk-off mood. IBM fell 5.7% even after raising its annual software revenue forecast and reporting third-quarter results ahead of Wall Street expectations.