US stock futures wavered on Wednesday, though Wall Street found some calm after a tech-led slide amid a fresh wave of earnings, as Wall Street waited for Alphabet (GOOG, GOOGL) results to reveal its AI mojo.
Dow Jones Industrial Average futures (YM=F) moved up roughly 0.2%, while S&P 500 futures (ES=F) put on 0.1% after swinging between small gains and losses. But contracts on the Nasdaq 100 (NQ=F) slipped 0.2% after tech stocks bore the brunt of the selling on Tuesday.
Wall Street is trying to find its feet after AI disruption fears fueled a rush out of software stocks — spilling over into a deep global sell-off that hit Europe and Asia markets alike. Meanwhile, broader AI gloom has helped spur the rotation from high-profile tech names into value stocks, with Nvidia (NVDA) and Microsoft (MSFT) both taking a hit.
The spotlight is on Alphabet (GOOG) and Arm Holdings (ARM) results on Wednesday, with the focus on AI demand. After that, the countdown will begin for Amazon’s (AMZN) quarterly report on Thursday.
Even better-than-expected earnings are no longer enough to convince the market, JPMorgan warned, unless the company reporting can show that AI will be a tailwind rather than a headwind. Advanced Micro Devices (AMD) shares sank around 9% as the chipmaker’s weak sales outlook cast doubt on its ability to take on AI bellwether Nvidia.
Pharma fortunes diverged as Eli Lilly’s (LLY) stock jumped after it posted an upbeat 2026 profit forecast thanks to soaring demand for its weight-loss drugs. But shares in rival Novo Nordisk (NVO, NOVO-B.CO) tumbled after the maker of Ozempic and Wegovy shocked investors by forecasting a steep drop in sales.
Elsewhere in earnings, Chipotle’s (CMG) stock retreated after the burrito chain reported another quarter of declining customer traffic. On the upside, Supermicro (SMCI) shares popped after the server maker upped its annual sales forecast.
Meanwhile, the gold (GC=F) comeback continued, rising above $5,000 an ounce as US and Iran actions at sea stoked a search for safe havens. At the same time, dip buyers continued to flock to precious metals following a steep pullback from record highs.
Markets are on watch for an ADP payrolls update later for insight on the labor market in January, given Friday’s scheduled release of the monthly jobs report was pushed back. Lawmakers on Tuesday agreed a funding deal to end the partial government shutdown that caused the delay.
LIVE 10 updates
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The SpaceX mega merger boosts the Musk trade
Yahoo Finance’s Hamza Shaban writes in today’s Morning Brief:
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Silicon Labs stock jumps after Texas Instruments acquisition news
Silicon Laboratories’ (SLAB) stock soared 52% before the bell on Wednesday after Texas Instruments (TXN) announced it would be buying the chip designer in a deal worth $7.5 billion.
The deal will allow Texas Instruments to expand its business into wireless connectivity chips.
Reuters reports:
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Eli Lilly stock rises after reporting upbeat 2026 profit forecast
Eli Lilly (LLY) stock jumped 7% before the bell on Wednesday after the pharmaceutical group provided a 2026 profit forecast above Wall Street estimates. The company said it hopes demand for its weight-loss drugs rises as it prepares to release its oral weight-loss pill this year.
Reuters reports:
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Bitcoin-led crypto rout erases nearly $500 billion in a week
Bitcoin (BTC-USD) drifted lower before the bell, eyeing a break below $76,000 per token to continue its slump.
The digital currency has plunged about 40% since notching an all-time high in October, sparking a warning from Michael Burry. “The Big Short” trader said the plummet could cascade into a self-reinforcing “death spiral” that could hit companies with big bitcoin treasuries.
Bloomberg reports:
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Alphabet set to report Q4 earnings in test of stock’s rally amid Google’s AI wins
Microsoft’s earnings stumble has intensified the focus on results from megacap names as AI worries pile pressure on tech stocks.
The next highlight is Alphabet (GOOGL, GOOG), set to report Q4 results after market close on Wednesday amid growing optimism from Wall Street for the Google parent’s AI leadership.
Yahoo Finance’s Laura Bratton reports:
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Supermicro stock jumps after raising annual revenue forecast
Supermicro (SMCI) stock jumped 11% before the bell on Wednesday after the server maker raised its annual revenue forecast on Tuesday, citing continued strong demand for its AI servers driven by companies expanding their data center capacity.
Reuters reports:
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Enphase jumps after earnings top analysts estimates
Enphase Energy (ENPH) stock soared 20% during premarket hours after the company’s profit and revenue beat analysts’ estimates. The technology company’s shares have risen 10% over the past month, but are down almost 42% for the year.
The AP reports:
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Chipotle stock sinks after company reports Q4 same-store sales drop 2.5%
Chipotle (CMG) stock dropped 5% during premarket trading on Wednesday. The burrito-bowl chain said on Tuesday afternoon that same-store sales fell in the fourth quarter and told investors it expects no sales growth in 2026 as it continued to navigate a decline in traffic.
Yahoo Finance’s Brooke DiPalma reports:
Read the full earnings story here.
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Indian tech stocks plunge as Anthropic AI tools spark workforce concerns
Reuters reports:
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Nvidia reportedly nearing end to $20 billion investment deal into OpenAI
Bloomberg reports:
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