Intel and Amazon Shares Tumble

Why this is trending right now

Nasdaq-100 futures fell 2% on Thursday following earnings reports from Intel and Amazon that failed to meet market expectations. Amazon reported a negative free cash flow of $42.4 billion, while Intel provided guidance that significantly missed analyst projections. The simultaneous decline of these two major components of the index has sparked a broader sell-off in the technology sector.

The last 24 hours: a timeline

Early Thursday morning, Intel released its quarterly guidance, which fell well below consensus estimates, causing an immediate pre-market plunge. By mid-morning, Amazon's earnings report revealed a $42.4 billion negative free cash flow, with the company maintaining its 2026 capital expenditure levels despite the shortfall. By midday, the cumulative effect of these reports pushed Nasdaq-100 futures down by 2%. Throughout the afternoon, analysts began revising their outlooks for the tech sector, citing concerns over sustained high capital expenditure and slowing growth.

What could happen next

Investors are now looking toward upcoming earnings calls from other major tech firms to determine if the issues faced by Intel and Amazon are systemic or company-specific. Based on the current guidance, Intel faces a difficult path to regaining investor confidence in the short term. Amazon's decision to hold capex unchanged despite negative cash flow suggests a long-term strategy that may continue to weigh on share prices until revenue growth accelerates. Market volatility is expected to remain elevated through the end of the week.