Before the Bell
Stock futures are pulling in two directions this morning. Nasdaq 100 futures are down 0.75% as the selloff in chip stocks spreads, while Dow futures are up 0.67% on a heavy slate of earnings from banks and health care. The chip pressure started in Asia: South Korea's Kospi fell more than 6% as Samsung and SK Hynix each dropped about 8%, on reports that Chinese memory maker CXMT has made progress on a new chip design. On the other side, Goldman Sachs and UnitedHealth are higher after strong results, and JPMorgan is mixed after its profit fell short of estimates. S&P 500 futures are down 0.1%, and WTI crude is off 1.3%.
On Monday the S&P 500 slipped 0.06% to 7,807.24, the Nasdaq Composite fell 0.44% to 27,245.90 and the Dow rose 0.38% to 51,850.55. A semiconductor index fell about 2.7%, led by memory makers Micron, SanDisk and Western Digital, on doubts about the payoff from AI spending. Overnight, Japan's Nikkei fell 1.8% on the same chip worries, while Hong Kong and Shanghai edged up. In Europe, Germany's DAX and London's FTSE 100 are up about 0.5% to 0.7%, even as luxury group LVMH fell on weaker-than-expected quarterly sales.