US stock futures tumbled on Thursday, October 22, 2026, with Nasdaq futures leading the decline. The drop came after earnings reports from Tesla and Meta Platforms raised concerns over AI spending, while rising crude oil prices and tensions in West Asia added to investor caution. Futures tied to the Dow Jones Industrial Average fell about 0.6%, S&P 500 futures lost 1%, and Nasdaq-100 futures dropped nearly 1.6%.
Tesla shares fell nearly 5% in premarket trading despite the company reporting third-quarter adjusted earnings of $0.48 per share, beating estimates of $0.44. Revenue came in at $28.05 billion, slightly below the $28.13 billion estimate, while adjusted EBITDA of $3.90 billion exceeded expectations of $3.66 billion. Investors are closely watching Tesla's spending plans, including higher investments expected in 2027 and 2028 in robotics, the Cybercab, and its Terafab project.
Meta Platforms shares also slipped in premarket trading despite reporting quarterly revenue above expectations. The company's earnings were impacted by legal expenses related to a settlement involving teen mental health. Meta announced a two-for-one stock split, which may influence investor sentiment.
Crude oil prices surged as tensions in West Asia escalated. Brent crude futures gained around 2.7% to $111.75 a barrel, while US West Texas Intermediate crude rose more than 2% to around $99.30. The New York Times reported that the US and Israel had drawn up plans for renewed strikes against Iran after next month's US midterm elections.
US Treasury yields declined as investors sought safety in government bonds. The benchmark 10-year Treasury yield fell seven basis points to 5.069%, while the two-year yield declined six basis points to 4.761%. Investors will also track reports that AI developer Anthropic could file for an initial public offering as soon as Friday.
On the economic front, weekly US initial jobless claims are due on Thursday. Investors will also assess earnings from Procter & Gamble, Lockheed Martin, Valero Energy, and Honeywell for signals on consumer demand, industrial activity, and corporate profitability.