Stock futures fell on Friday after some of the biggest US banks reported earnings.
Futures tied to the Dow Jones Industrial Average fell 53 points, or 0.15 percent, while S&P 500 futures fell 0.3 percent. Nasdaq 100 futures fell 0.6%.
Bank of America reported better-than-expected fourth-quarter earnings, but shares were flat. Meanwhile, JPMorgan Chase reported earnings that beat expectations, but shares fell slightly. Shares of Wells Fargo also fell 2% after the bank reported its quarterly data.
Delta Air Lines also reported earnings and revenue that beat estimates for the final quarter of 2022. However, shares fell more than 5% in premarket trading.
Investors awaited these results to get a better idea of the health of the economy.
“As the tug-of-war between analysts intensifies over the outlook for a recession — and the depth of the recession — earnings reports from banks, combined with their guidance, should help clarify how businesses and consumers are faring,” said Quincy Crosby, chief global strategist at LPL Financial.
The moves followed a positive day for the three major indexes. The Nasdaq Composite notched its fifth day of gains, its first since July. Stocks rose broadly as the December CPI report showed prices fell 0.1% from November. While prices rose at a 6.5 percent pace from a year earlier, the results boosted hopes that the Federal Reserve may soon slow its hike.
The Dow Jones Industrial Average added 216.96 points, or 0.64%. The S&P 500 and Nasdaq Composite gained 0.34% and 0.64%, respectively.
Stocks are headed for a winning week, with the Nasdaq and S&P on pace for their best weekly performance since November. The Nasdaq rose 4.09% to close Thursday. The S&P advanced 2.26%, while the Dow added 1.66%.
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