Market Flux Event
US Stock Futures Recover Tuesday as Tech Steadies Despite Surging Treasury Yields and AI Safety Concerns
Read this in the Market Flux appUS stock futures clawed back into positive territory Tuesday morning after a losing session Monday, when soaring Treasury yields and jitters over artificial intelligence safety dragged the major indexes lower. Dow Jones Industrial Average futures gained roughly 46 points, or about 0.1%, while S&P 500 futures edged up 0.1% and Nasdaq-100 futures added 0.2% in early premarket trading.
The recovery was anchored by stabilization in technology stocks. Nvidia rose about 0.7% and AMD gained around 1% in premarket trade, providing support to the broader market after Monday's selloff. Nvidia had launched an AI safety platform and announced a $150 billion stock buyback program, the largest ever, which helped lift sentiment around the chip sector.
The backdrop remained challenging. The benchmark 10-year Treasury yield surged past 5.2% Monday, reaching a fresh 19-year high, while the 30-year yield climbed above 5.55%, a level last seen around 2004. Elevated yields have rattled equity investors by raising the cost of capital and increasing competition for stocks from bonds. Oil prices were also a factor, with Brent crude having briefly crossed $100 per barrel after President Trump rejected an Iranian proposal to reopen the Strait of Hormuz, keeping energy supply concerns in the foreground. Among individual movers in premarket trading, MongoDB and Reddit were set to open higher, and broader activity in information technology stocks pointed to selective buying after the prior session's losses.
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Sources
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