Nasdaq is about to run almost 4% on Friday open after Amazon reported disappointing sales and guidance. Amazon shares fell 10% in premarket trading.
Tech sales spread to Dow, which is the right track to open 300 points lower. The S & P 500 is also ready to open in red.
A series of fears have sent stock for a swan spin this month. Nasdaq is heading for its worst month since November 2008.
Although Amazon reported record profits, they underlined the weaker than expected revenues and prospects that investors became euphoric about highflying shares.
The markets begin to price in a slower economic and profit growth like the bull market and the business cycle. Stimulations from tax cuts will eventually fade and the Federal Reserve’s interest rate hikes can also slow growth.
Investors are also concerned about how the economy is under pressure from slowing down global growth and trade war. The government’s GDP report for the third quarter, released on Friday morning, is expected to show strong but declining growth.
Global markets have also been in turbulence. European markets opened sharply lower, while Asian markets closed in red.