Nasdaq futures slip after tech rally

Nasdaq 100 E-minis dropped 0.32% on Friday, following a tech rally the day prior, as investors digested Nvidia's strong forecast. Markets were keeping a close eye on Federal Reserve Chair Kevin Warsh's upcoming speech at the Fed's Jackson Hole gathering, where he would provide insights into the central bank's approach to monetary policy.

Fed officials earlier issued warnings of inflation, with some hinting at the possibility of a September rate hike. Despite Nvidia's impressive forecast, chip stocks retraced some of their gains from the previous day, raising concerns over the sustainability of the rally. PayPal also saw a sharp decline after Bloomberg News reported that a group of investors, including Advent and Stripe, were pulling out of their acquisition bid for the payments company.

Meanwhile, Gap's shares rose after the company announced the appointment of a new CEO for its Old Navy division and raised its profit outlook for the year. Looking ahead, Friday's session will see traders closely examine the final University of Michigan Consumer Sentiment report for August and speeches from Chicago Fed President Austan Goolsbee.