S&P 500, Nasdaq futures rise as AI stocks rebound ahead of key earnings
Focus is now shifting to a busy week of corporate earnings, with Meta expected to beat Wall Street expectations on Wednesday.
The S&P 500 and Nasdaq futures surged on Monday due to a rebound in AI-related shares after a steep sell-off last week. The key technology stocks, including data center operators, experienced a decline due to concerns about higher interest rates potentially stifling investments in AI infrastructure. The sharp drop in AI-linked stocks, such as CoreWeave, led to a 25% plunge last week.
However, the futures bounced back, with CoreWeave climbing 3.4% in premarket trading on Monday. Other chip names also showed gains, with Broadcom and Micron adding 2.9% and 3.3%, respectively. The market's attention now shifts to a series of corporate earnings reports, with Meta expected to surpass analyst expectations on Wednesday, followed by Tesla, SpaceX, Netflix, General Motors, and GE Aerospace.
Analysts emphasize the importance of demonstrating that the spending on AI tools translates into increased revenues, as investors remain wary of yet another promise to shell out billions.
Written by urgent.news from Free Malaysia Today's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
