Futures tied to the S&P 500 climbed 0.2% on Friday, October 16, while Dow Jones Industrial Average contracts added 0.3%. But the week is still in the red. The S&P 500 and Nasdaq are locked into weekly losses after a sharp semiconductor sell-off earlier in the period, even though all three major indexes closed higher on Thursday. The Dow remains the outlier, tracking a modest 1% weekly gain.
Tesla shares popped 3% after the EV maker unveiled its next-generation Roadster. The hype is real, but the timeline is long—production isn't expected until 2028. Meanwhile, Netflix named former Disney executive Peter Rice as its new chief content officer, effective October 26. He replaces Bela Bajaria, who is exiting after nearly a decade leading global content operations.
A bigger shakeup hit the FMCG sector. KFC signed Coca-Cola as its US beverage partner on Thursday, ending a nearly four-decade alliance with PepsiCo, according to Reuters. This is a direct hit to PepsiCo’s soda revival strategy, especially as its snacks business struggles against high prices and a consumer shift toward healthier options.
Macro headwinds remain stubborn. Wholesale inflation posted its biggest monthly jump since 2022, driven partly by elevated energy costs following the US-Iran conflict. Consumer inflation sits well above the Federal Reserve’s 2% target, complicating the monetary policy outlook. Traders are now staring down a heavy earnings slate next week, with Netflix, Tesla, and Meta Platforms all set to report results.