US index futures slip early Thursday as Tesla cuts its sales outlook

Macro & central banks

• The Bank of Korea kept its policy rate at 3.00% on Thursday, after two 25 basis point hikes in July and August. Policymakers are taking time to assess the effect on inflation and domestic demand, while strong semiconductor demand continues to support growth.
• The Bangko Sentral ng Pilipinas raised its rate by 50 basis points to 5.25%, more than the 25 basis points analysts had expected. The current tightening cycle now totals 125 basis points, as headline inflation climbed to 7.2% in September from 6.1% in August.
• In France, the 10-year yield briefly moved above 5% on Wednesday, while the CAC 40 is still down 2.80% year to date.

Indices & tech

• At 9:08 a.m. Paris time, S&P 500 futures were down 1.0% (75 points), Nasdaq 100 futures down 1.7% (510 points) and Dow futures down 0.5% (283 points).
• Meta reported quarterly revenue above expectations and strong guidance for the current quarter, and its shares are rising. Tesla is falling after lowering its annual sales target. According to some sources, insiders are concerned about regulatory oversight of a possible Tesla and SpaceX merger.
• The CAC 40 gained 1.06% on Wednesday to close at 7,921.68, back above 7,900 after a 0.38% drop the previous day. Earnings drove the session: EssilorLuxottica jumped 15.5% (third-quarter revenue of 7.486 billion euros, up 9%, with connected eyewear sales up 20%), and Atos rose 13.8% after posting its first positive net cash generation since launching its restructuring plan. Several gains lack a clear catalyst, and valuation models call for caution.
• Carrefour fell 13.8% to 14.05 euros, the index's steepest decline, erasing all its gains since January. About fifty of its stores were looted after the riots of October 17. The group estimates the impact at 80 to 200 million euros on its current operating income and now targets an operating margin improvement of 0 to 15 basis points, down from 25 previously.

Geopolitics & energy

• According to information published on Wednesday, citing US officials, the United States and Israel have drawn up plans for new strikes on Iran targeting its energy infrastructure, nuclear sites and missile arsenal. A three-day campaign is reportedly under consideration after the US midterm elections.
• Donald Trump has repeatedly postponed earlier strikes and has not yet approved a new operation.

To watch today

• The opening of Wall Street after the drop in futures, with reactions to Tesla and Meta in focus.
• Whether the CAC 40 holds above 7,900 points, and how the French 10-year yield trades around 5%.
• Follow-ups on Carrefour (quantification of the looting impact) and any developments on Iran.