U.S. stock index futures showed slight gains in evening trading on Thursday, propelled by a sharp rise in shares of streaming giant Netflix following the release of its stronger-than-expected earnings for the September quarter.
The broader market gains were largely driven by technology stocks, particularly chipmakers, which were buoyed by positive earnings from Taiwan Semiconductor Manufacturing Company (TSMC).
Futures stabilized after a mildly positive session on Wall Street, where stronger-than-expected retail sales data bolstered inflation expectations. However, the technology sector emerged as a standout performer.
As of 19:17 ET (23:17 GMT), S&P 500 futures rose 0.1% to 5,891.75 points, while Nasdaq 100 futures climbed 0.2% to 20,404.25 points. Dow Jones futures remained steady at 43,514.0 points.
Netflix Rises Following Q3 Earnings Beat
Shares of Netflix Inc. (NASDAQ) surged 4.9% in after-hours trading on Thursday after the company reported better-than-expected third-quarter earnings and provided an optimistic outlook for the current quarter. The streaming service added more subscribers than anticipated, with a significant increase in sign-ups for its ad-supported subscription tiers.
The positive earnings report set an encouraging tone ahead of several major technology firms reporting their results next week, including Alphabet Inc. (NASDAQ), scheduled for Tuesday, and Tesla Inc. (NASDAQ) and Amazon.com Inc. (NASDAQ), expected later in the week.
Investor sentiment towards tech stocks, especially in the semiconductor sector, was further buoyed by robust earnings and guidance from TSMC. Despite a slight decline in TSMC shares during evening trading, the stock had surged nearly 10% during the session. TSMC indicated that an artificial intelligence-driven boom remains strong, helping investors overlook weaker guidance from semiconductor equipment maker ASML (AS) (NASDAQ) earlier this week.
Meanwhile, NVIDIA Corporation (NASDAQ), a market darling, steadied in evening trading after briefly reaching a record high during the session.
Wall Street Gains on Strong Retail Sales
On Thursday, Wall Street indices posted modest gains as stronger-than-expected retail sales data underscored ongoing resilience in the U.S. economy. However, the data also reinforced the idea that the strength of the economy may reduce the likelihood of substantial monetary easing from the Federal Reserve, although traders continued to bet on a 25 basis point cut in November.
The S&P 500 closed flat at 5,841.47 points, while the NASDAQ Composite remained steady at 18,373.54 points. The Dow Jones Industrial Average rose 0.4%, reaching a record closing high of 43,239.05 points.
