Market Reacts to Earnings and Trade News

Investors showed their disappointment with the latest earnings reports, leading to a significant drop in major United States futures. IBM was among the hardest hit, with its shares plummeting nearly 8% in premarket trading following its earnings announcement.

Trade Talks Between US and China Stall

Despite the Trump administration signaling a softer approach to trade negotiations with China, progress remains elusive. Officials from Beijing have clarified that discussions between the two economic powerhouses are currently on hold.

Market Indices Show Significant Declines

By early morning, the Dow Jones had fallen by 0.61%, or 242 points, while the Nasdaq 100 and S&P 500 also experienced drops of 1% and 0.76%, respectively.

Euro Gains Against the Dollar

In currency markets, the euro strengthened against the dollar, trading 0.55% higher at a rate of 1.13769 by mid-morning.