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U.S. stock futures fell on Tuesday night after disappointing third-quarter results from Alphabet marked a foreboding start to Big Tech earnings this week.
Dow Jones Industrial Average futures fell by 75 points, or 0.24%. S&P 500 and Nasdaq 100 futures declined 0.96% and 2.04%, respectively.
Shares of Google-parent Alphabet dropped more than 6% in extended trading. The online search giant missed expectations on the top and bottom lines. Alphabet also reported a decline in YouTube ad revenue, which spurred investors to deliberate the outlook for other tech companies that rely on ad spending.
“I think we have to take a big picture perspective and recognize that no one’s really immune in this market, there is a slowdown in digital ad spend,” Sand Hill Global Advisors’ Brenda Vingiello said Tuesday on CNBC’s “Closing Bell: Overtime.”
Other mega-cap tech stocks declined in after hours trading on the back of the report. Shares of Meta Platforms fell 4.1%, and Amazon slipped 2%.
Meanwhile, Microsoft declined about 3% after the tech giant reported weaker-than-expected cloud revenue in its latest quarterly results, despite beating earnings and revenue estimates.