Nasdaq 100 futures fall 2.16% as Intel drops 25% and Amazon 7.2% premarket

U.S. stock futures fell early Friday as the AI spending worries that sank Alphabet on Thursday spread to Amazon and Intel.

Intel warned it will burn cash this year, citing a weak PC market, factory bottlenecks and heavy capacity spending. Amazon reported a sharp cash outflow after $77.3 billion of quarterly capital spending and signaled spending will rise again next year (Reuters, company filing). Reuters said the two could lose about $300 billion of market value combined if the drops hold. Reddit fell after warning that daily visitors could decline in the fourth quarter. Dow futures were nearly flat, down 0.05%.

Why it matters: investors are no longer rewarding AI spending by itself; they are marking down companies whose spending runs ahead of cash flow, and the selling now reaches chip suppliers such as AMD, Broadcom and Nvidia.

WMR data: at Thursday’s close Amazon was 14.2% below its 52-week high and Alphabet 29.4% below; see the U.S. Stock Screener and Chip Monitor.

Next: the 8:30 AM ET employment cost index and whether Nvidia and Broadcom hold Thursday’s closes after the open. Full context in the morning report.