Investing.com -- Stocks were sinking on Wednesday after an unexpected U.S. credit downgrade by Fitch Ratings spooked investors and sent the tech sector lower.
Tech stocks have been rallying all year on the prospect of easing conditions for interest rates. Fitch downgraded the U.S. on Tuesday night, citing increased polarity in Washington over debt ceiling and other negotiations that point to a deterioration in governance standards. The Treasury Department pushed back at the firm's assertions.
Still, it was enough to weigh on markets amid a deluge of corporate earnings reports this week.
After raising interest rates by a quarter of a percentage point in July, the Fed could be at or near the end of its rate hiking plans. It doesn't meet again about interest rates until September, and futures traders are not unanimous on when or whether another rate hike could come. Some see rates rising another quarter of a percentage point in September, some see it in November.
Fed officials meet later this month for their annual conference at Jackson Hole, Wyo., where top policy makers could provide some details on where they see the economy headed in the second half of the year.
Here are three things that could affect markets tomorrow:
1. Apple earnings
Tech giant Apple Inc (NASDAQ:AAPL) is expected to report earnings per share of $1.19 on revenue of $81.7 billion. Analysts will be listening for any details on new product launches and what is down the road.
2. Amazon.com reports
E-commerce giant Amazon.com Inc (NASDAQ:AMZN) is expected to report earnings per share of 35 cents on revenue of $131.4B.
3. Anheuser Busch InBev
Brewing giant Anheuser Busch Inbev (EBR:ABI) NV ADR (NYSE:BUD) is expected to report earnings per share of 67 cents on revenue of $15.4B.