Stock market news live updates: Stock futures dip ahead of GDP data

Stock futures pointed to losses at Thursday’s open as Wall Street awaited fresh data on U.S. economic activity and another round of earnings from tech giants.

Contracts on the benchmark S&P 500 ticked down 0.3%, while futures tied to the Dow Jones Industrial Average slipped 60 points, or 0.2%. Nasdaq futures were off by 0.6%.

The moves mark a turnaround from sharp gains on Wednesday after the Federal Reserve delivered an expected, second consecutive interest rate increase of 75 basis points and suggested it may slow the pace of its rate hiking cycle.

All three major indexes rallied following the U.S. central bank’s announcement. The S&P 500 jumped 2.6%, the Dow Jones Industrial Average gained 1.4%, and the tech-heavy Nasdaq Composite soared 4.1%.

Shares of Meta (META) tumbled more than 4% in pre-market trading after the Facebook parent company reported second-quarter earnings late Wednesday that fell short of analyst estimates. The quarter also marked the social media giant’s first year-over-year revenue decline.

Earnings from more Big Tech heavyweights are due out Thursday, with Apple (AAPL) and Amazon (AMZN) on deck to report. Other big names among a busy earnings roster for the day include Pfizer (PFE), Comcast (CMCSA), Intel (INTC), and Roku (ROKU).

The logos of Amazon, Apple, Facebook and Google are seen in a combination photo from Reuters files. REUTERS/File Photos

The government’s advance estimate of second quarter GDP is the major event of Thursday as market participants debate whether a recession is underway. Economists expect this report to show the U.S. economy grew at an annualized pace of 0.4% last quarter, according to the latest estimates from Bloomberg.

The reading is set to come one day after Federal Reserve Chair Jerome Powell told reporters he did not believe the economy is in a recession, even as certain data points show signs of softening.

“The Fed’s statement recognized the recent economic slowdown, but stressed that the labor market remains robust and that price stability remains the primary objective,” abrdn Senior Economist Luke Bartholomew said in a note. “Powell signaled the Fed would be unfazed if, as looks likely, Thursday’s GDP data shows the economy contracted for two consecutive quarters.”

Alexandra Semenova is a reporter for Yahoo Finance. Follow her on Twitter @alexandraandnyc

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