US stock futures traded mixed on Thursday, as hopes for a US-EU trade deal kept fresh records in sight and Wall Street assessed earnings from tech giants Alphabet (GOOG) and Tesla (TSLA).

Dow Jones Industrial Average futures (YM=F) dropped 0.4% amid a post-earnings slide in IBM (IBM), after the blue-chip index ended just shy of its first record close this year.

Meanwhile, contracts on the tech-heavy Nasdaq 100 (NQ=F) rose roughly 0.3%, while S&P 500 futures (ES=F) were little changed on the heels of another all-time closing high.

Alphabet beat Wall Street's second-quarter earnings expectations and doubled down on its AI spending spree. The Google parent's shares rose in premarket trading alongside other AI-linked stocks such as Nvidia (NVDA), helping buoy the tech-focused gauges.

Read more: Full earnings coverage in our live blog

But fellow "Magnificent Seven" stalwart Tesla's stock sank after an earnings miss, a continued slump in European sales, and a warning from CEO Elon Musk that the EV maker faced "rough quarters" as President Trump's budget bill kills off tax credits.

Earnings season continues on Thursday with results from Intel (INTC) and American Airlines (AAL).

Meanwhile, trade-deal hopes continued to run high after the US-Japan pact helped fuel more records for the S&P 500 (^GSPC) and Nasdaq Composite (^IXIC) on Wednesday.

The EU and US are closing in on an agreement that would impose a 15% tariff for most imports from Europe, instead of the 30% threatened, media reports said.

Read more: The latest on Trump's tariffs

That rate is emerging as a potential new baseline for the "reciprocal" tariffs set to kick in on Aug. 1, going by Trump's comments late Wednesday. Previously, the president had imposed a 10% baseline rate on countries as part of his sweeping April tariffs.

"We’ll have a straight, simple tariff of anywhere between 15% and 50%,” he said at an AI summit. “A couple of — we have 50 because we haven’t been getting along with those countries too well.”

Alphabet (GOOG, GOOGL) and Tesla (TSLA) kicked off Big Tech earnings on Wednesday afternoon, and Yahoo Finance's Hamza Shaban recaps what investors learned in today's Morning Brief:

What's the next catalyst for Big Tech, you ask? Well, it's already here. It's been here. And it doesn't seem to be going anywhere, at least for a while.

Each of the Big Tech platforms has its own story to tell and market demons to fend off. But the AI buildout and Wall Street excitement have proven resilient in the face of tectonic trade shifts and the uncertainty that has distressed other parts of the market.

As Big Tech earnings kicked off on Wednesday, many of the past year's major storylines are reemerging: questions over returns on investment, consumer adoption, and market competition. But with just days remaining until the next tariff deadline, the familiar is also working as a buffer: The tech giants aren't facing an existential threat, and investors know it.

Tech bulls say the market is still underestimating the massive growth that AI will inspire. And that, in addition to chip companies like Nvidia (NVDA) and cloud platforms like Google (GOOG, GOOGL) and Amazon (AMZN) thriving, suggests the next chapter in the success story will come from the broader software space as more companies and consumers adopt generative AI.

\\"After a relatively strong few months navigating tariff and geopolitical storms, now tech stocks are poised to see another major move higher in the second half of 2025, led by the tech winners in this 'golden age' for the tech world,\\" Wedbush analyst Dan Ives wrote in a preview note.

Read more here.

Economic data: Initial jobless claims (week ending July 19) Chicago Fed national activity index (June); S&P Global US manufacturing PMI (July preliminary); S&P Global US services PMI (July preliminary); S&P global US composite PMI (July preliminary); New home sales (June)

Earnings: American Airlines (AAL), Blackstone (BX), Deckers (DECK), Dow (DOW), Honeywell (HON), Intel (INTC), Keurig Dr Pepper (KDP), Nasdaq (NDAQ), Nokia (NOK), Southwest Airlines (LUV), Union Pacific (UNP)

Here are some of the biggest stories you may have missed overnight and early this morning:

Trump signals baseline hike in 'reciprocal' tariffs to 15%

The AI trade hasn't changed for Big Tech — and that's working for them

Trump to visit Fed HQ for refurb check as he battles with Powell

Keurig Dr Pepper beats estimates but coffee inflation lurks

Google beats on earnings, doubles down on AI spending spree

Tesla stock sinks after earnings miss, 'rough' patch warning

Chipotle plunges after company reports 2nd straight sales decline

Goldman's trading desk touts cheap hedges against S&P 500 slide

Meme stock rally has investors feeling 'invulnerable'

Retail investors with an appetite for risk are piling into speculative trades and creating a new roster of meme-stocks, helping power a broader rally in markets, Yahoo Finance's Jake Conley reports:

Stocks like Opendoor (OPEN), Kohl's (KSS), and Krispy Kreme (DNUT) have replaced yesterday's meme darlings like GameStop (GME), AMC (AMC), and now-shuttered Bed, Bath & Beyond as the latest market curiosities, treating investors to wild price swings with little fundamental backing to explain the moves. ...

What's driving the renewed interest in highly speculative bets on names long ago written off by Wall Street? According to Interactive Brokers chief strategist Steve Sosnick, the market environment is simply right for risk.

\\"I think more and more investors are feeling somewhat invulnerable right now,\\" Sosnick told Yahoo Finance. \\"Everything they’ve been trying has been working for them. If the basic stuff’s working, why not try a bit more speculative stuff?\\"

Read more here.

STMicroelectronics (STM) delivered a double whammy in its earnings on Thursday: A surprise Q2 loss from restructuring charges and a disappointing outlook for Q3.

US-listed stock in the European chipmaker slid over 10% in premarket trading, while its shares in Paris (STMPA.PA) fell to their lowest in a year at one point, down 13%.

Bloomberg reports:

STMicro gets much of its revenue from the automotive industry, which is facing rising pressures from the global trade war as tariffs disrupt the car market. Elon Musk warned Tesla Inc. (TSLA) investors this week that a few “rough quarters” are ahead as incentives like a tax credit for electric vehicles in the US lapse. Tesla is one of STMicro’s largest customers, accounting for around 6% of the company’s revenue, according to data compiled by Bloomberg. ...

Chief Executive Officer Jean-Marc Chery said that the third-quarter outlook was impacted by a single customer, which is expected to be a temporary setback, and that growth is expected in the fourth quarter.

Car chip sales were slightly below the company’s expectations in the second quarter, balanced by higher revenues in its personal electronics and industrial divisions, it said. ...

STMicro’s results are similar to those of US peers Texas Instruments Inc. (TXN) and NXP Semiconductors NV (NXPI), “with signs of cyclical recovery offset by tariff related uncertainty and, in particular, automotive weakness,” Citi analysts including Andrew Gardiner said in a note.

Read more here.

Here are some top stocks trending on Yahoo Finance in premarket trading:

Chipotle Mexican Grill (CMG) stock fell 10% before the bell on Thursday after reporting another quarter of negative sales growth.

The fast-casual restaurant chain posted results on Wednesday as it navigates an uncertain consumer environment and as its new leadership deals with the most challenging backdrop in years.

T-mobile (TMUS) stock rose 5% premarket on Thursday after beating analyst estimates on Wednesday. The telecom group's CEO Mike Sievert told Yahoo Finance's executive editor Brian Sozzi that the company's steady value messaging is helping it to gain market share.

Wolfspeed (WOLF) shares rose 18% before the bell. The chipmaker's stock reacted positively this week to the new US-Japan trade deal and has been up 13% over the last five days. The US-Japan trade deal boosts optimism for Wolfspeed as it supports Renesas’ EV chip production, raising hopes for more deals with automakers like Jaguar Land Rover.

Stock in retail giant American Eagle Outfitters, Inc. (AEO) flew up over 25% in after-hours trades overnight Thursday. The individual share price went from $10.82 at close to a peak of $13.80 as of 10:57 p.m. EDT.

The jump in value can be attributed to the current meme stock phase that has pushed up value in companies such as Opendoor (OPEN), Krispy Kreme (DNUT), Kohl's (KSS), and GoPro (GPRO) over the past few days.

Much of meme-stock mania can be attributed to retail investors making moves in stocks with 'undervalued fundamentals', and the rallying of groups around individual personalities. With this in mind, the release of an ad campaign starring actress Sydney Sweeney has been leapt upon by members of online communities on Reddit and X.

Though seen in other companies receiving the benefits of online attention, with Opendoor receiving a 140% increase in retail revenue in the past two weeks, it is unclear whether the increase in stock value will see a corresponding increase in revenue for American Eagle.

Crude oil prices climbed late night Thursday, fueled by hopes for progress in US trade talks and a surprise plunge in American oil stockpiles, easing concerns about global economic slowdown.

Reuters reports:

Brent crude (BZ=F) futures gained 24 cents, or 0.4%, to $68.75 a barrel by 0032 GMT. U.S. West Texas Intermediate (CL=F) crude futures climbed 25 cents, or 0.4%, to $65.50 per barrel.

Both benchmarks were little changed on Wednesday as markets monitored developments in U.S.-European Union trade talks, following President Donald Trump's tariff deal with Japan. The agreement lowers duties on auto imports and spares Tokyo from new levies in exchange for a $550 billion package of U.S.-bound investment and loans.

\\"Buying was driven by optimism that progress in tariff negotiations with the U.S. would help avoid a worst-case scenario,\\" said Hiroyuki Kikukawa, chief strategist of Nissan Securities Investment, a unit of Nissan Securities.

\\"Still, uncertainty over U.S.-China trade talks and peace negotiations between Ukraine and Russia is limiting further gains,\\" he added, predicting WTI will likely remain range-bound between $60 and $70.

Read more here.