Dow futures drop 200 points and Microsoft tumbles after earnings

Stock futures fell in early trading on Wednesday as traders hoped for the latest batch of corporate earnings.

Futures on the Dow Jones Industrial Average fell 222 points, or 0.66%. Nasdaq 100 futures were down 1.3%, and S&P 500 futures were down 0.8%.

Microsoft shares fell 2%. Shares initially rose after the tech giant announced its fiscal second-quarter earnings per share It exceeded analysts’ estimates. However, shares fell after the company gave lackluster guidance on its earnings call.

Investors are preparing for higher profits for companies amid fears of a recession. So far, more than 70 S&P 500 companies have reported fourth-quarter earnings, and 65% of them posted stronger-than-expected results, according to Refinitiv.

said Quincy Crosby, chief global strategist at LPL Mali.

TeslaAnd Boeing ibm And AT&T Among the companies whose numbers are due to be released on Wednesday.

The moves followed a three-day winning streak for the blue-chip Dow. All three major averages are up at least 1% in the week so far.