Market will scrutinise tech firms’ disappearing profits

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2023 has started on a downbeat note with thousands of layoffs announced ahead of earnings season

US technology stocks are about to hit their next hurdle when earnings season for the most influential segment of the S&P 500 index gets under way in the coming week: vanishing profits.

The tech-heavy Nasdaq 100 index enters this crucial stretch amid a darkening backdrop that short-circuited a strong start to the year. Underscoring the risks ahead, Microsoft, which kicks off the group’s reporting on Tuesday, joined Amazon.com in starting to cut thousands of jobs last week as sales slow. Google parent Alphabet followed with plans of its own to shrink its workforce...

 

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