Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, May 10, 2023.
Brendan McDermid | Reuters
U.S. stock futures were all higher on Thursday morning after Disney posted its latest quarterly results and investors look toward Thursday’s Producer Price Index report.
Dow Jones Industrial Average futures climbed 44 points, or 0.14%. S&P 500 futures rose 0.26%, while Nasdaq-100 futures ticked up 0.21%.
Market reactions were relatively muted during Wednesday’s main trading session. The tech-heavy Nasdaq Composite gained 1.04%, closing at 12,306.44. The S&P 500 inched up 0.45% to 4,137.64. Meanwhile, the Dow Jones Industrial Average ticked down 0.09% to end at 33,531,33.
Disney, which is one of the 30 names on the Dow, saw its shares tumble 4.5% during after hours trading following its fiscal second-quarter earnings release. While higher prices helped its streaming division to narrow its losses, it dealt a harsh blow to subscriber growth.
The company also announced it would take on impairment charges of $1.5 billion to $1.8 billion as it removes more content from its streaming platforms.
“This is rebalancing and getting more efficient as they curate content. This is big news,” Ken Leon, CFRA Research’s director of equity research said on CNBC’s “Closing Bell: Overtime.”
“It’s essentially saying, ‘We’re not putting everything into the future direct streaming, and we’re also going to look at where we can get the best returns that drive free cash flow,” Leon continued.
Wall Street will also be keeping an eye on more economic data coming out. The weekly jobless claims numbers from the prior week will be announced, as well as the data from April’s Producer Price Index, which measures price changes in goods used by producers.