Home / Business and Economy / Mixed Futures as Tech Earnings, Fed Decision Near
Mixed Futures as Tech Earnings, Fed Decision Near
28 Jul
Summary
- US stock futures show mixed signals amid AI spending concerns.
- UPS and Carrier Global reported strong Q2 earnings and raised outlooks.
- Biotech firms Altimmune and ProMIS Neurosciences saw stock surges on positive trial data.
U.S. stock futures presented a mixed picture on Tuesday, influenced by renewed apprehension regarding artificial intelligence spending, which continued to weigh on semiconductor stocks. This cautious sentiment prevails ahead of a significant week that includes major technology earnings reports and the Federal Reserve's upcoming interest rate announcement.
Chipmakers faced renewed pressure following overnight declines in Asian semiconductor shares. Investors are scrutinizing the long-term viability of the AI infrastructure boom, citing rising financing costs and increased competition, particularly from China. The recent initial public offering of ChangXin Memory Technologies in Shanghai further heightened concerns about future competition within the memory chip market.
In premarket trading, United Parcel Service saw a notable increase after exceeding Wall Street's expectations for its second-quarter performance and elevating its full-year forecast. Similarly, Carrier Global's stock rose as the company announced stronger-than-anticipated second-quarter earnings and enhanced its financial guidance for the entire year. The company is also divesting its NORESCO energy-efficiency business to focus on core growth.
Biotechnology firms also made headlines. Altimmune surged significantly after releasing positive topline results from its Phase 2 RECLAIM trial for alcohol use disorder. ProMIS Neurosciences climbed on reporting favorable interim safety and biomarker data from its Phase 1b Alzheimer's disease trial, with no serious adverse events observed.
