Investing.com– U.S. stock index futures were mixed on Sunday evening as investors assessed whether technology shares could extend their recovery following last week’s sharp selloff, while preparing for a fresh round of inflation data and earnings from artificial intelligence-related companies.
S&P 500 Futures traded flat at 7,403.50 points, while Nasdaq 100 Futures fell 0.2% to 27,033.75 points by 19:15 ET (00:15 GMT). Dow Jones Futures rose 0.4% to 51,605.0 points.
The NASDAQ Composite ended Friday up 1.1%, while the S&P 500 gained 0.3%. The Dow Jones Industrial Average, however, slipped 0.5%. All three major indexes finished the week lower, reflecting lingering concerns about the sustainability of the AI investment boom.
Wall Street’s recovery on Friday came after Thursday’s rout, when the Nasdaq plunged 5.5%, the S&P 500 dropped 4.4%, and the Dow Jones Industrial Average lost 3.4%.
The technology selloff was partly driven by concerns that the Democrats’ victories in the midterm elections could lead to tighter regulation of artificial intelligence development and data centre construction.
Meanwhile, Nvidia (NASDAQ:NVDA) was also likely to remain in focus after the chipmaker’s board said on Sunday it was launching an independent investigation into reports that Chief Executive Jensen Huang had been targeted by a foreign intelligence effort.
Separately, Huang has apologized to employees after admitting to an affair with businesswoman Alice Huang, whom U.S. intelligence suspects is a Chinese spy.
The economic calendar will be dominated by inflation readings, with the October consumer price index due on Tuesday and producer price index data scheduled for Friday.
The readings will be closely scrutinised for clues about the Federal Reserve’s policy outlook, particularly as investors reassess the possibility of further monetary tightening.
Markets are pricing in a nearly 80% probability of another Fed rate increase at its December 8-9 meeting, according to CME FedWatch. The central bank raised rates for the first time in three years in September amid persistent inflation pressures.
On the corporate front, earnings from companies closely tied to the AI infrastructure boom will provide further clues about demand and spending trends.