US stock futures slipped Wednesday evening after Alphabet lifted its 2026 capital-spending forecast, with investors already more cautious over the cost of the AI buildout. Rising oil, driven by fresh US strikes on Iran, added to the strain, and the selling deepened into Thursday’s premarket.
Alphabet’s decision to spend more on artificial intelligence, not less, sent its shares lower and pulled US equity futures down with them. The Google parent raised its 2026 capital-expenditure forecast to as high as $205 billion, citing strong AI demand, and its stock slid 3% in extended trading.
Futures turn lower across the board
The retreat spread across the major indices. Dow futures lost 69 points, or 0.1%, while S&P 500 futures dropped 0.2% and Nasdaq 100 futures fell 0.3%. That followed a subdued regular session, in which the S&P 500 lost 0.14% and the Nasdaq Composite fell 0.57%.
Oil climbs as strikes resume
Crude prices deepened the unease. Oil moved higher after the US launched another round of strikes against Iran, with Secretary of State Marco Rubio saying Tehran was not serious about negotiations. A sustained rise in oil could lift inflation and complicate the Federal Reserve’s interest-rate path.
Earnings offered little cover. Fundstrat economic strategist Hardika Singh pointed to the conflict rather than results, saying “investors’ attention has gravitated toward the war again”.
Selling deepens before Thursday’s open
By Thursday’s premarket, the decline had sharpened. Dow futures pointed to a fall of 626 points, the S&P 500 to a drop of 92 points and the Nasdaq to a loss of 508 points. Alphabet extended its slide to 5.4% as traders digested its report.
Attention now turns to a heavy earnings slate. Dow, American Airlines, T-Mobile, Union Pacific and Norfolk Southern report before the bell, with Intel due after the close. Weekly jobless claims are set for 8:30 a.m. ET.
Sources: CNBC, investingLive
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