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Pre-Market Performance
U.S. equity futures are lower before the opening bell, with pressure concentrated in growth and AI-linked shares. Nasdaq 100 futures are down 467.25 points, or 1.57%, at 29,217.0; S&P 500 futures are down 48.50 points, or 0.63%, at 7,678.8; Dow futures are down 180.00 points, or 0.34%, at 52,822.0.
European markets are mixed. The FTSE 100 is up 53.62 points, or 0.50%, at 10,704.06, after trading between 10,650.92 and 10,734.85. France's CAC 40 is down 60.65 points, or 0.74%, at 8,119.12, while Germany's DAX is down 128.40 points, or 0.50%, at 25,440.16.
Commodities are being led by energy. Brent crude is up 3.6% at $108.31 a barrel, while WTI crude is up 3.3% at $103.35 a barrel, as Middle East supply concerns intensify. Gold is lower by about 0.4% near $4,329 an ounce, while the U.S. Dollar Index is steady around 99.15; dollar-yen is trading near 153.98, the euro around $1.1600, and sterling near $1.3518.
Hot News
- AI safety warnings hit growth sentiment: Nasdaq futures are leading U.S. losses after Anthropic CEO Dario Amodei called for AI companies to slow the pace of model development, with OpenAI CEO Sam Altman and Elon Musk saying they agreed. The remarks triggered a broad repricing across AI-exposed hardware shares while lifting some software names seen as potential beneficiaries of a slower infrastructure race.
- Oil jumps on Middle East supply risk: Brent and WTI are sharply higher after attacks on Saudi energy infrastructure and ships in the Gulf raised concerns over global supply routes. A planned Oman meeting between Iran and Gulf Arab states over the Strait of Hormuz was postponed, reinforcing the risk premium in crude.
- Global equities soften as AI trade reverses: Asian shares declined broadly, and Japan's Nikkei 225 fell 0.8% to 63,492.99, with AI-linked stocks under pressure. SoftBank, a major OpenAI investor, dropped 10.7% in Tokyo after the AI-safety debate weighed on investor appetite for high-multiple technology exposure.
- Dollar steady, gold pressured: The U.S. dollar index is holding near 99.15 after two weeks of modest declines, while gold is lower as higher bond yields reduce the relative appeal of non-yielding assets. Currency moves remain orderly, with the yen firmer versus recent extremes and the euro and sterling little changed.
U.S. Stock Focus
- Nvidia — AI caution weighs on pre-market trading: Shares are down more than 2% before the open as investors reassess the speed and durability of AI-infrastructure spending. The stock sits at the center of the selloff, with recent gains closely tied to aggressive demand for AI accelerators and data-center buildouts.
- Meta Platforms — shares fall as AI sentiment turns cautious: Down more than 1% in pre-market trading as the broader AI trade comes under pressure. Investors are watching whether calls to slow AI development could affect the pace or perceived return of the company's infrastructure spending.
- Amazon — AI capex exposure keeps stock under pressure: Also down more than 1% before the open, reflecting concern that a more cautious AI-development environment could affect expectations for cloud and AI infrastructure demand at AWS.
- Intel — chip selloff extends to legacy semiconductor names: Down nearly 6% in pre-market trading, underperforming the broader market. The move suggests investors are reducing risk across chipmakers, not only in the highest-growth AI accelerator names.
- Advanced Micro Devices — shares drop with AI hardware peers: Down about 5% before the open as investors question whether the recent run in AI compute demand can continue at the same pace if leading AI executives press for slower development.
- Marvell Technology — pre-market decline reflects data-center risk reset: Down nearly 6% in early trading. Exposure to custom silicon, networking, and data-center infrastructure makes the stock sensitive to changes in expectations for AI-related capital spending.
- ServiceNow — software stock rises as AI disruption narrative shifts: Up about 3% pre-market, moving against the broader technology selloff. Investors appear to be rotating toward software names as the market debates whether slower AI capability gains could reduce disruption risk for enterprise software platforms.
- Adobe — shares gain as software outperforms hardware: Up roughly 2.5% before the open, benefiting from a relative rotation into software as AI hardware and semiconductor names face sharper selling pressure.
- Workday — pre-market strength highlights software rotation: Up about 2.5% in pre-market trading, reflecting improving demand for selected software exposure as investors reduce positions in AI hardware names and reassess the balance between AI opportunity and disruption risk.
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