Both stocks were down about 6% in premarket trading. Meta Platforms is due to report today after the close and was down 4%.

Today's drop comes after a prolific session for the Nasdaq and its technology stocks, which closed up 2.1%, while the broad and more diversified S&P 500 index gained 1.6%. Investors yesterday mostly shunned the oil compartment, its favorite of recent months, to return to stocks under attack in 2022.

As I mentioned in previous columns, something has changed in the narrative since Friday. This change coincides with a series of poor macroeconomic statistics in the US and elsewhere. This has given credence to the theory that the US central bank's efforts to slow economic activity are paying off. This implies that the time when it will no longer be necessary to raise rates is approaching. If everything goes according to plan, of course, that is, if the slowdown is accompanied by a decline in inflation. And if the economic slowdown ends with a soft landing and not a runway exit.

The negative macroeconomic signals that have been trending are starting to trickle down to companies, as can be seen with the disappointing results from tech giants. Wait…if the macro is slowing and companies are struggling, why are stocks rising, you might ask? Simply because it gives investors the feeling that the US central bank has not launched the most brutal rate hike cycle in decades for peanuts, and that it is not immune to success in its inflation control efforts.

There are two key moments in this kind of cycle. First the time of the changing discourse, then the time of the changing actions. The time of the changing discourse may have arrived. But it's the more important of the two moments, because it's the one that sends the buy signal to investors, who are looking for anticipation. They just need a plan, a compass and a time to go. Until now, they have only had the plan in their hands. The latest news may have provided them with the compass and the time. Again, this is conditional, because I have seen too much to imagine that everything will evolve in a linear way in the coming weeks. We're still in the midst of mid-term elections in the US, a war in Europe, an energy crisis and some worrying imbalances.

There will be even more corporate results than the day before today. Traditionally during the quarterly season, the most crowded days are Wednesday and Thursday.

In other news, the appointment of the new British Prime Minister Rishi Sunak has helped ease some of the concerns about the British economy. Chinese stock markets are stabilizing after Monday's mini-crash, following the strengthening of Xi Jinping's grip on the country's executive branch after the 20th CCP Congress.


Economic highlights of the day:

In the United States, we have wholesale inventories and new housing figures. All the macro agenda is here.

The dollar is heading back up to parity with the Euro (EUR 0.9995) and is down 0.8% to GBP 0.8659. The ounce of gold remains in its recent zone at USD 1664. Oil is relatively stable, with North Sea Brent at USD 92.25 per barrel and US WTI light crude at USD 86.18. The yield on 10-year U.S. debt came back down to 4.09%. Bitcoin rallied to USD 20,500 per unit.


In corporate news:

* Alphabet reported a smaller-than-expected increase in quarterly revenue on Tuesday, as the owner of Google and YouTube was hurt by disappointing advertising revenue. In after-hours trading, its stock was down 6.3 percent.

* Microsoft expects second-quarter revenue below Wall Street expectations across its businesses, after posting its weakest quarterly sales growth in five years in July-September. The computer group lost 5.7% in pre-market trading.

* Boeing lost 4% in premarket trading after announcing a $2.8 billion charge for its troubled defense business.

* Texas Instruments said it expects lower-than-expected quarterly results due to lower demand in most of its end markets. The chipmaker's stock was down 5.3%.

* Visa reported a better-than-expected quarterly profit as U.S. consumers took advantage of the stronger dollar to spend more abroad.

* Mobileye - Intel's autonomous driving division raised $861 million in its initial public offering and set the benchmark price at $21, valuing it at $16.7 billion. Its first listing is expected this Wednesday.

* Bristol-Myers Squibb on Tuesday reported third-quarter revenue down year over year as generic competition weighed on sales of its cancer drug Revlimid in the U.S.

* Mattel lowered its annual profit forecast and announced more promotions in the run-up to the holiday season as high inflation hit toy purchases.

* Chipotle Mexican Grill reported better-than-expected quarterly sales and profit on Tuesday as it raised prices.

* Kraft Heinz third-quarter sales came in above analysts' expectations thanks to price increases on its products. The stock was up 3% in pre-market trading.

* Hilton - The hotel group raised its annual profit target after third-quarter results beat expectations.

* Spotify saw its third-quarter profit margin cut by weak advertising growth, fueling concerns about the effect of the global economic slowdown on online advertising. Spotify shares were down 6% in pre-market trading.

* Chemours reported better-than-expected quarterly results as higher prices for its industrial and specialty chemicals helped the company offset rising costs.

* Bunge - The commodity broker raised its annual earnings forecast on the back of a strong performance in its refined and specialty oils business.

* Harley-Davidson reported a 60% increase in quarterly profit as higher shipments and selling prices helped the motorcycle maker keep up with inflation. The stock was up 2.5% in premarket trading.

* CME - The stock market operator reported a 25% increase in quarterly profit thanks to higher trading volumes.


Analyst recommendations:

Alphabet: Piper Sandler adjusts price target to $122 from $135, reiterates overweight rating

Avis Budget: Jefferies assumes avis budget group at buy with $270 price target.

Burlington Stores: Morgan Stanley adjusts price target to $175 from $167, reiterates overweight rating.

Cloudflare: Jefferies adjusts price target to $60 from $70, keeps hold rating.

Crown Holdings: J.P. Morgan downgrades to neutral from overweight. PT up 0.4% to $71.

Halliburton: Wells Fargo Securities upgrades to overweight from equal-weight. PT up 49% to $52.

Microsoft: Morgan Stanley downgrades to $307 from $325. Maintains overweight rating.

NXP Semiconductors: Needham adjusts price target to $200 from $225, reiterates buy rating.

Tesla: Tudor Pickering adjusts price target to $177 from $215, maintains hold rating.

Walt Disney: KeyBanc adjusts price target to $143 from $154, reiterates overweight rating