Wall Street Futures Slide as SpaceX Wireless Plans Hit Telecoms

Wall Street futures declined Friday as a combination of disruptive corporate news and geopolitical instability pressured multiple sectors. Space Exploration Technologies Corp. reportedly entered talks with cellular infrastructure companies to launch a nationwide wireless carrier program, triggering a selloff in telecommunications shares. AT&T, Verizon, and T-Mobile each dropped over 3% in premarket trading, while cell tower operators Crown Castle and American Tower saw gains.

Market volatility extended to the technology sector, where investors shifted focus toward the profitability of artificial intelligence expenditures. Meta Platforms reported stronger-than-expected revenue but missed profit targets and recorded its first cash outflow in over a decade due to AI spending. To fund further investments, Meta announced the creation of a new class of stock. Other major tech firms, including Nvidia and Tesla, experienced volatility as the Nasdaq fell nearly 3% on Thursday.

Simultaneously, crude oil prices reached their highest levels since May, with Brent crude rising to $114.92 per barrel. The surge was driven by stalled negotiations and uncertainty surrounding a war with Iran, pushing the U.S. national average gasoline price to $4.29 per gallon. Investors are now awaiting earnings reports from Microsoft, Alphabet, and Amazon, alongside next week's Federal Reserve policy meeting.