European markets had a cautious start to the trading day, with the pan-European Stoxx 600 remaining around the flatline. Tech stocks were down 0.4%, while oil and gas shares gained 0.6%.
Chinese food delivery giant Meituan saw its shares drop more than 5% after forecasting a weaker outlook for the third quarter. The company’s management cited a slowdown in food delivery volume, which they attributed to macroeconomic factors and extreme weather conditions. Despite this outlook, some analysts remain bullish on Meituan, noting its market share gains during the pandemic.
The Nikkei 225 in Japan fell nearly 2%, led by losses in the tech and retail sectors. Heavyweight Softbank Group saw a 3.79% loss. Industrial equipment manufacturer Advantest and electronics company Tokyo Electron were the biggest losers on the index. Tokyo also reported its lowest core inflation rate since September 2022, coming in at 2.8% for August.
In the energy sector, losses continued to mount, with a 2.4% decline in the week-to-date performance. APA, Occidental Petroleum, and EQT were among the top losers. The technology sector, on the other hand, emerged as the top performer for the week, up 1.7%. In after-hours trading, chipmaker Marvell Technology’s shares tumbled over 5% despite beating analyst estimates, while beauty retailer Ulta Beauty saw its shares rise 1.4% after reporting better-than-expected second-quarter results. Nordstrom, however, experienced a more than 3% drop in its shares, despite beating earnings and revenue expectations.
U.S. stock futures opened with minimal changes, with the Dow Jones Industrial Average futures up 0.06% and S&P 500 futures remaining flat. Nasdaq 100 futures slipped 0.1%.