US equity futures edged higher on Monday, pausing last week’s declines as investors weighed how the economy will hold up under higher interest rates and whether renewed calls to slow AI development could curb infrastructure spending. Futures on the S&P 500 and Nasdaq 100 rose 0.3% from six-week lows hit yesterday, while Dow futures added about 100 points.
The Federal Reserve is widely expected to raise interest rates by 25 bps at its upcoming meeting. However, the Summary of Economic Projections is likely to highlight divisions within the FOMC, as heightened uncertainty over the outlook fuels disagreement on policy and forward guidance.
Chipmakers and hardware manufacturers extended yesterday’s rebound after concerns over AI safety risks, raised by Anthropic and OpenAI, threatened to slow the surge in hyperscaler capital expenditures. Intel, Marvell, and Dell all climbed more than 3% in premarket trading. In contrast, banks, retailers, and pharmaceutical stocks were little changed.
