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U.S. Stock Futures Mixed as Tech and AI Stocks Face Pressure Ahead of CPI Data

U.S. Stock Futures Mixed as Tech and AI Stocks Face Pressure Ahead of CPI Data. Source: Carlos Delgado, CC BY-SA 3.0, via Wikimedia Commons

U.S. stock index futures traded mixed on Sunday evening as investors remained cautious toward technology and artificial intelligence stocks following disappointing guidance from major tech players. Concerns around the sustainability of the AI-driven rally intensified after weak outlooks from Broadcom and Oracle, prompting a broad sell-off in tech shares late last week.

As of late Sunday, S&P 500 futures were little changed near 6,830, Nasdaq 100 futures slipped nearly 0.2% to around 25,174, while Dow Jones futures edged up 0.1% to approximately 48,525. The muted performance reflects growing uncertainty among investors, particularly in high-growth technology names that have led market gains throughout the year.

Market sentiment deteriorated sharply on Friday after Wall Street endured a negative session dominated by losses in tech stocks. Semiconductor and AI-related companies were hit hardest, with Nvidia posting notable declines as investors reassessed lofty valuations tied to artificial intelligence expectations. Broadcom shares plunged more than 11% after the company warned of margin softness and indicated that meaningful returns from its data center partnership with OpenAI may not materialize until at least 2027. This announcement raised fresh doubts about near-term profitability across the AI supply chain.

Oracle also weighed heavily on sentiment after issuing underwhelming guidance and highlighting aggressive spending on AI data centers. The stock dropped more than 12% over the past week, as investors grew uneasy about the company’s capital intensity and its heavy reliance on OpenAI-related revenue commitments. Together, the outlooks from Broadcom and Oracle dampened enthusiasm for the AI trade and pressured the broader technology sector, including the so-called “Magnificent Seven.”

Despite tech weakness, losses across major U.S. indexes were partially cushioned by strength in non-tech sectors and dovish signals from the Federal Reserve. The S&P 500 fell 1.1% on Friday, while the Nasdaq Composite dropped 1.7% and the Dow Jones Industrial Average declined 0.5%.

Looking ahead, investors are focused on the upcoming U.S. consumer price index data for November, a key indicator that could influence interest rate expectations. Signs of easing inflation may boost hopes for additional Federal Reserve rate cuts, especially after the central bank recently lowered rates and signaled a data-dependent approach. The Fed’s plan to purchase $40 billion per month in short-term Treasuries has further reinforced a cautiously dovish outlook for monetary policy going into 2026.

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