Futures tied to major U.S. equity indices traded sharply lower on Monday, weighed down by renewed weakness in AI-related stocks and heightened macroeconomic uncertainty. S&P 500 futures declined 0.3%, Nasdaq 100 futures shed more than 1%, while Dow Jones Industrial Average futures were only slightly below the flatline.
Semiconductor shares came under renewed pressure, underscoring persistent doubts about whether the sector can deliver on the ambitious earnings guidance that has fueled its speculative rally. SK Hynix ADRs dropped 8%, unwinding part of Friday’s 13% surge, after a Korean brokerage warned the company could miss its next earnings target. Nvidia, AMD, and Intel were all down more than 1% in premarket trading, while memory makers SanDisk and Micron fell over 3%.
Broader sectors were also under strain as ongoing tit-for-tat strikes between the U.S. and Iran continued to disrupt energy flows from the Middle East, stoking concerns about higher inflation and rising borrowing costs. Major U.S. banks traded mixed ahead of earnings reports due tomorrow, with JPMorgan and Bank of America both fluctuating around the flatline.
