Stocks Decline Ahead of Powell Speech, Netflix Jumps on Earnings Beat, Oil Cools After Rally

Jerome Powell's speech will be closely watched for signals on future interest rate hikes. Markets are nervous he may strike a hawkish tone after strong economic data.

U.S. stock futures dropped as rising bond yields prompted investors to exit riskier assets. The major indices fell sharply on Wednesday amid rate hike fears.

Netflix stock surged as subscriber growth smashed expectations. Tesla shares fell as recent price cuts weighed on profit margins.

Third quarter earnings season continues with reports due from companies like American Airlines, AT&T, and Blackstone. Most companies are beating estimates so far.

Oil prices cooled after sharp gains Wednesday. Markets await developments in the Israel-Hamas conflict and the global supply outlook.