Stocks are struggling for direction following the global tech selloff
Stock futures are struggling for direction today, following sharp losses fueled by a global tech selloff last session. Nvidia (NVDA) is up 2.9% premarket, rebounding from a 17% loss, which resulted in a $600 billion drop in market capitalization -- the biggest single-session loss for a U.S. company in history. The move also knocked the chip darling out of the top spot as the world's most valuable company.
Futures on the Dow Jones Industrial Average (DJI) are modestly lower before the bell this morning, while S&P 500 Index (SPX) and Nasdaq-100 Index (NDX) sit just above breakeven, as investors eye the start of the Federal Reserve's two-day policy meeting.
Continue reading for more on today's market, including: .
5 Things You Need to Know Today
- The Cboe Options Exchange (CBOE) saw more than 2.2 million call contracts and over 1.2 million put contracts exchanged on Monday. The single-session equity put/call ratio rose to 0.57 and the 21-day moving average stayed at 0.60.
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Defense stock RTX Corp (NYSE:RTX), formerly known as Raytheon Technologies, is up 4.4% premarket. Though the company posted disappointing annual revenue estimates, fourth-quarter earnings crushed expectations. Year over year, the equity is up 38.3%.
- Autodesk Inc (NASDAQ:ADSK) is up 2.9% before the bell, after an upgrade from Mizuho Securities to "outperform" from "neutral," with a price-target hike to $400 from $280. Since last January, the software name is up 18.2%.
- Royal Caribbean Cruises Ltd (NYSE:RCL) is up 5.1% in electronic trading, after the company posted upbeat fourth-quarter results and a strong current-quarter forecast on strong travel demand. Coming into today, RCL is holding on to a 91.8% year-over-year lead.
- Interest rate update due out this week.
European Markets Shake Off Tech Rout
Asian markets exhibited mixed performance today, with South Korean and Chinese markets closed for the Lunar New Year holiday. Japan's Nikkei index led losses in the region, shedding 1.4%, as tech stocks bore the brunt of investor concerns stemming from the recent fallout of Chinese artificial intelligence (AI) startup DeepSeek.
In contrast, European markets showcased resilience, shaking off global jitters in the AI sector. On the economic front, European wage growth decelerated in 2024, alleviating some inflationary concerns, while France's consumer confidence reached its highest level since February 2022. At last glance, Germany’s Dax is up 0.9%, London’s FTSE 100 is 0.5% higher, and France’s CAC 40 boasts a 0.4% lead.