LIVE MARKETS-US profit growth looking brighter despite tech share weakness this week
Welcome to the home for real-time coverage of markets brought to you by Reuters reporters. You can share your thoughts with us at markets.research@thomsonreuters.com
US PROFIT GROWTH LOOKING BRIGHTER DESPITE SHARE WEAKNESS THIS WEEK
Estimated U.S. earnings growth for the last quarter of 2025 jumped in the last week as more big tech-related companies report results, even as top names like Advanced Micro Devices AMD.O, Alphabet GOOGL.O and Amazon.com AMZN.O saw their shares fall in the wake of their quarterly reports.
Amazon.com on Friday was down 6.4% after the company outlined a planned $200 billion capital outlay for the year.
On Thursday, Alphabet ended down 0.55% after the Google parent said it plans as much as $185 billion in capex in 2026, while on Wednesday shares of AMD tumbled 17% after the chipmaker forecast quarterly revenue that disappointed investors.
Investors in recent months have become more wary of heavy spending on artificial intelligence. Investor focus has been on a tech selloff especially in software industry shares this week as anxiety grows over the potential disruption caused by AI.
With results in from 293 of the S&P 500 companies as of Friday morning, overall S&P 500 earnings growth is seen at 13.5% year-over-year for the quarter, up from 10.9% a week ago, according to LSEG.
Earnings for the technology sector .SPLRCT are now seen up 30.6% from a year ago versus estimated growth of 26.5% at the start of January. It continues to sharply lead profit growth for the quarter among sectors.
The data also shows that 77.1% of earnings reports so far are exceeding analysts' expectations. Over the past four quarters, 78% of companies have beaten analyst estimates and 16% have missed, based on LSEG data.
(Caroline Valetkevitch)
EARLIER ON LIVE MARKETS:
INDIVIDUAL INVESTOR NEUTRAL SENTIMENT HIGHEST IN MORE THAN A YEAR - AAII CLICK HERE
BOUNCING CLICK HERE
HINDENBURG RETURNS TO NASDAQ CLICK HERE
AI FEARS SHAKE UP EUROPEAN TECH, BUT OPPORTUNITIES ARE EMERGING CLICK HERE
TECH TAKES CENTER STAGE AMID THE MARKET'S RECENT RISK-OFF ROUT CLICK HERE
BANK OF AMERICA SAYS: 'STAY LONG DETROIT, SHORT DAVOS' CLICK HERE
BOE, ECB SET POUND AND EURO ON DIVERGENT PATHS CLICK HERE
EUROPE GETS A LIFT FROM DEFENCE, BUT AUTOS, AI-VULNERABLE SHARES FALL AGAIN CLICK HERE
FED UNDER PRESSURE AS LAYOFFS MOUNT CLICK HERE
Related Articles
National Debt Bomb Ignited? Musk Warns U.S. Will Be 1000% Bankrupt Without AI
TradingKey - Tesla (TSLA) CEO Elon Musk recently issued another warning regarding the rapidly ballooning U.S. national debt. He stated clearly that without artificial intelligence and robotics, the United States will inevitably head toward fiscal bankruptcy.
Tesla Stock Outlook: Competing With Rivian, Robotaxi Potential, and 2026 Prospects
There is much conversation about the prospect of investing in Tesla (TSLA) as we move closer to 2026. The volatility of its share price in 2025 is leading many investors to consider if they should purchase shares of Tesla given the alternatives available in terms of electric vehicles (Rivian, etc.).
A Crash After a Surge: Why Silver Lost 40% in a Week?
TradingKey - Spot silver (XAGUSD) prices continue to decline. Silver plunged 20% on Thursday, breaking below $71 per ounce, with the sell-off intensifying on Friday as prices fell further below $64. Compared to the all-time high set on January 29, silver prices have retraced more than 40%, wiping out nearly all gains accumulated over the previous month.
Is Bitcoin’s Four-Year Cycle Dead in 2026?
Is the Bitcoin 4-year cycle dead? After 2025 broke historical records with a red post-halving year, institutional analysts explore if the Bitcoin price has decoupled from the halving countdown. Analyze the impact of spot ETFs, global liquidity, and the roadmap to the 2028 halving in this 2026 market
