Global Markets Slide as Tech Giants Miss Earnings and Binance Suffers Security Breach

European stock exchanges traded mixed on Friday, pressured by a 1.9% decline in the technology sector that mirrored a broader global downturn. The pan-European Stoxx 600 index slipped 0.3%, Germany's DAX lost 0.5%, France's CAC 40 rose 0.1%, and the UK's FTSE 100 gained 0.3%.

Macroeconomic data added to the cautious sentiment as France's economy unexpectedly contracted by 0.1% in the third quarter, driven by declining exports and ongoing social unrest. In contrast, British pharma giant AstraZeneca rallied after beating third-quarter forecasts, reaffirming its annual outlook and projecting over $20 billion in potential revenue from pipeline drugs by 2027. Energy heavyweight BP also posted strong results, nearly quadrupling its profit to $8.5 billion year-on-year amid high refining margins.

Wall Street Futures Point to Tech-Led Losses

U.S. stock futures pointed to a sharply lower open, led by the technology sector. Nasdaq 100 futures plummeted 2.2%, while S&P 500 futures fell 1%. The negative momentum follows disappointing earnings reports from tech giants Amazon and Intel.

Intel shares crashed 25% in pre-market trading, heading for their steepest daily drop in over two years, after issuing a significantly weaker-than-expected current-quarter revenue forecast due to persistent weakness in the personal computer market. Amazon shares slid 4.25% after missing analyst estimates for revenue and profit, alongside reporting a negative free cash flow of roughly $42.4 billion. These drops follow Alphabet's 12% tumble, renewing market concerns over high AI valuations and massive capital expenditures.

«AI infrastructure requires massive upfront investments, and even though there is evidence that demand is very strong, that does not automatically guarantee attractive returns.»