U.S. stock futures ticked higher on Friday, signaling a positive finish to October as investors welcomed upbeat earnings from Amazon (NASDAQ:AMZN) and Apple (NASDAQ:AAPL). Meanwhile, Nvidia (NASDAQ:NVDA) unveiled a major AI chip deal with South Korea, and fresh data showed that China’s factory activity contracted more sharply than expected.
U.S. futures edge higher
At 02:20 ET, S&P 500 futures gained 0.6% (up 42 points), Nasdaq 100 futures rose 1.1% (up 290 points), while Dow Jones futures were little changed. The rebound follows Thursday’s decline, when Wall Street was weighed down by steep losses in Meta Platforms (NASDAQ:META) and Microsoft (NASDAQ:MSFT).
Both tech giants outlined plans to accelerate investment in artificial intelligence, sparking investor worries about profit margin pressure and uncertain payoffs. Meta’s shares plunged 11.3%—their sharpest one-day drop in three years—while Microsoft fell 2.9%. By contrast, Alphabet (NASDAQ:GOOG) gained 2.5% after reporting better-than-expected results thanks to solid ad and cloud performance.
Federal Reserve Chair Jerome Powell dampened hopes for further monetary easing, saying another rate cut in December was “far from a foregone conclusion.” Trade deals announced during a long-anticipated meeting between U.S. President Donald Trump and Chinese President Xi Jinping also did little to shift market sentiment. Nvidia, which earlier this week became the first firm to surpass a $5 trillion valuation, slipped 2%.
Amazon jumps on strong cloud performance and AI growth
Amazon shares surged in premarket trading after reporting robust third-quarter results. Revenue climbed 13% year over year to $180.2 billion, exceeding forecasts of $177.75 billion. Earnings per share came in at $1.95, beating estimates of $1.56, despite one-off charges linked to legal settlements and workforce restructuring.
Growth at Amazon Web Services accelerated to 20%—its fastest since 2022—reflecting the division’s deepening connection to the company’s AI initiatives. For the crucial holiday quarter, Amazon forecast revenue between $206 billion and $213 billion, implying 10%–13% growth, in line with analyst expectations. Operating income is projected between $21 billion and $26 billion.
The company said it spent nearly $90 billion on capital projects during the first nine months of 2025, with total annual spending expected to reach $125 billion as it continues to scale its AI infrastructure.
Apple projects record-breaking holiday quarter
Apple’s stock also rose ahead of the open after the company delivered a strong forecast for the final months of 2025. The iPhone maker expects total revenue to grow between 10% and 12% during the December quarter, surpassing Wall Street projections.
CEO Tim Cook told CNBC the iPhone 17 would drive the best December quarter “in the history of the company.” Demand for the device has been particularly strong in the U.S. and China, where it is outpacing previous models.
Apple posted fiscal fourth-quarter earnings of $1.85 per share on revenue of $102.5 billion, slightly above expectations of $1.76 per share and $102 billion in sales. iPhone revenue of $49 billion was a touch below forecasts, with CFO Kevan Parekh citing supply headwinds. The company said it will increase AI-related spending, with operating expenses expected to be about $1.5 billion higher than forecast for the next quarter.
Nvidia announces major AI chip shipment to South Korea
Nvidia confirmed plans to deliver over 260,000 of its advanced AI chips to the South Korean government and major conglomerates including Samsung Electronics, SK Group, and Hyundai Motor. Each firm plans to deploy up to 50,000 chips in AI-driven manufacturing, while the government will use its share to accelerate national AI development.
“Just as Korea’s physical factories have inspired the world with sophisticated ships, cars, chips and electronics, the nation can now produce intelligence as a new export that will drive global transformation,” said Nvidia CEO Jensen Huang.
Huang, who met with President Lee Jae Myung and corporate leaders in Gyeongju, did not reveal the deal’s value or timeline. The agreement further solidifies Nvidia’s leadership position at the center of the global AI expansion.
China’s manufacturing slump deepens
China’s official manufacturing PMI dropped to 49.0 in October, below expectations of 49.6 and down from 49.8 in September—its lowest reading in seven months. The index has now remained below the 50 mark, which separates growth from contraction, for seven consecutive months.
The data reflected weak domestic demand, sluggish orders, and ongoing pressure from U.S. tariffs, underscoring the fragility of China’s economic recovery. Analysts said the figures increase pressure on Beijing to introduce additional stimulus measures as the country faces persistent deflationary forces, weak consumption, and slowing private investment.