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US Stock Futures Slip Ahead of Big Tech Earnings, Fed Decision as Nvidia Leads Chip Selloff

US Stock Futures Slip Ahead of Big Tech Earnings, Fed Decision as Nvidia Leads Chip Selloff. Source: The original uploader was RMajouji at English Wikipedia., CC BY 2.5, via Wikimedia Commons

U.S. stock futures edged lower late Monday as investors prepared for a crucial week featuring earnings from major technology companies and the Federal Reserve’s latest policy decision. Market participants are closely watching whether strong artificial intelligence (AI) investments will continue to support the broader stock market rally.

S&P 500 Futures declined 0.3% to 7,428.25, while Nasdaq 100 Futures dropped 0.7% to 28,001.25. Dow Jones Futures slipped 0.2% to 52,297. During Monday’s regular session, the Dow Jones Industrial Average gained 0.5%, the S&P 500 finished little changed, and the Nasdaq Composite fell 0.2%.

Technology stocks came under pressure after reports suggested Chinese memory chipmaker CXMT had made rapid progress in semiconductor development, raising competition concerns within the AI chip industry. Nvidia shares fell nearly 5%, dragging the Philadelphia Semiconductor Index down 2.2%.

Investors are now turning their attention to earnings from Microsoft, Meta Platforms, Apple, and Amazon later this week. The results are expected to provide fresh insight into AI spending, cloud demand, and whether heavy investments in artificial intelligence infrastructure are translating into stronger revenue and profits. Recent earnings from Tesla and Alphabet raised concerns after both companies highlighted elevated AI-related capital spending.

Markets are also awaiting the Federal Reserve’s interest rate decision on Wednesday following its two-day policy meeting. Investors will closely analyze Fed Chair Kevin Warsh’s remarks for guidance on the central bank’s policy outlook, especially after recent energy price swings complicated the inflation picture.

Oil prices continued to decline after the United States and Iran maintained a pause in hostilities, easing fears of supply disruptions. President Donald Trump said negotiations with Iran were progressing and expressed optimism about reaching an agreement, while warning that military action could resume if diplomatic efforts fail.

Among corporate developments, Johnson & Johnson announced a proposed $5.5 billion settlement to resolve most remaining ovarian cancer lawsuits linked to its talc products. Meanwhile, the Federal Aviation Administration proposed inspections of passenger seat installations on hundreds of Boeing 737 MAX aircraft after identifying potential safety concerns involving improperly installed seats.

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