What To Look For When Amazon And Apple Report After The Close

After a market rollercoaster in the past 48 hours driven by a return of the regional bank solvency crisis and a ultra-hawkish Powell smashing the market's March rate cut teeth, earnings are back into focus today, with Amazon, Apple and Meta all reporting after the bell, and - as Bloomberg warns - after Powell dashed hopes of a March rate cut, investors might show even less patience with the tech giants that so far have failed to justify high valuations.

Heading into today's earnings, the Mag 7’s earnings have been less than stellar, and the group is down 3% since Tesla reported last week. Microsoft meh beat did not impress the AI maniacs, while Alphabet’s disappointing ad revenue has been weighing on Meta, and lawmakers yesterday laid into CEO Mark Zuckerberg over his company’s failure to protect kids online from abuses.

Meanwhile, Apple is reeling from an analyst report saying the company expects lower demand for iPhones in 2024, with Bloomberg expecting the company to stare down another quarter of underwhelming results. While Wall Street expects the company to have narrowly avoided its fifth straight sales decline, it’s contending with challenges around the world, including Chinese restrictions on foreign technology and increasing antitrust scrutiny in Europe.