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Wall Street futures moved higher on Monday as technology and artificial intelligence stocks
recovered, while a decline in oil prices helped ease pressure on U.S. bond yields and supported
investor sentiment.
The recovery comes after a difficult week for AI-related stocks, when concerns over the sustainability of heavy spending on artificial intelligence triggered a broader technology sell-off. On Monday, investors returned their focus to continued corporate investment in AI development and infrastructure.
Chipmakers were among the early gainers. Intel shares climbed 5.4% in premarket trading, while Marvell Technology rose 2.6%. Meta Platforms gained 2.4%, and Dell Technologies advanced 2.7%.
Accenture was another major mover, with its shares rising about 6%. The gain came after Accenture and Anthropic announced a partnership involving a $2 billion commitment toward AI model evaluation over five years.
A decline in crude oil prices provided another boost to the broader market. Oil prices fell around 2% on Monday as investors assessed developments in the Middle East and signs of potentially improving supply conditions.
Lower crude prices helped ease inflation concerns and pushed the benchmark 10-year U.S. Treasury yield below the closely watched 5% level. Falling yields can provide some relief to technology and other growth-oriented stocks, whose valuations are particularly sensitive to borrowing costs.
Airline stocks also benefited from the move in crude prices, with Delta Air Lines and American Airlines gaining about 1% each in early trading.
At around 5:09 a.m. ET, Dow E-minis were up 0.6%, while S&P 500 E-minis gained 0.63%. Nasdaq 100 E-minis, which have greater exposure to major technology companies, were up 1.09%, according to Reuters.
The market is also watching the Federal Reserve's interest-rate outlook. Higher inflation linked to energy prices has increased expectations that U.S. borrowing costs could remain elevated, making upcoming comments from Federal Reserve officials important for investors.
Investors are assessing whether the enormous investment being made in AI chips, data centres, computing infrastructure and software can translate into sustainable business growth.
The latest gains suggest that concerns surrounding AI spending have not disappeared, but market attention has shifted back toward the continued expansion of the sector.
Global markets also started the week on a firmer footing, with technology and semiconductor stocks benefiting from renewed expectations around AI demand.
The recovery comes after a difficult week for AI-related stocks, when concerns over the sustainability of heavy spending on artificial intelligence triggered a broader technology sell-off. On Monday, investors returned their focus to continued corporate investment in AI development and infrastructure.
Chipmakers were among the early gainers. Intel shares climbed 5.4% in premarket trading, while Marvell Technology rose 2.6%. Meta Platforms gained 2.4%, and Dell Technologies advanced 2.7%.
Accenture was another major mover, with its shares rising about 6%. The gain came after Accenture and Anthropic announced a partnership involving a $2 billion commitment toward AI model evaluation over five years.
A decline in crude oil prices provided another boost to the broader market. Oil prices fell around 2% on Monday as investors assessed developments in the Middle East and signs of potentially improving supply conditions.
Lower crude prices helped ease inflation concerns and pushed the benchmark 10-year U.S. Treasury yield below the closely watched 5% level. Falling yields can provide some relief to technology and other growth-oriented stocks, whose valuations are particularly sensitive to borrowing costs.
Airline stocks also benefited from the move in crude prices, with Delta Air Lines and American Airlines gaining about 1% each in early trading.
At around 5:09 a.m. ET, Dow E-minis were up 0.6%, while S&P 500 E-minis gained 0.63%. Nasdaq 100 E-minis, which have greater exposure to major technology companies, were up 1.09%, according to Reuters.
The market is also watching the Federal Reserve's interest-rate outlook. Higher inflation linked to energy prices has increased expectations that U.S. borrowing costs could remain elevated, making upcoming comments from Federal Reserve officials important for investors.
Investors are assessing whether the enormous investment being made in AI chips, data centres, computing infrastructure and software can translate into sustainable business growth.
The latest gains suggest that concerns surrounding AI spending have not disappeared, but market attention has shifted back toward the continued expansion of the sector.
Global markets also started the week on a firmer footing, with technology and semiconductor stocks benefiting from renewed expectations around AI demand.
