Nasdaq futures dip as Nvidia tumult keeps investors on edge
QQQ•Nasdaq 100 futures fell 0.11% early Friday as investors weighed Nvidia's turmoil and an outage affecting Microsoft services. Dow futures rose 0.19% and S&P 500 futures gained 0.13%.
1. Futures diverge
Nasdaq 100 futures edged lower early Friday after a volatile week stirred concern about the AI trade. At 5:03 a.m. ET, Dow E-minis were up 0.19%, S&P 500 E-minis rose 0.13% and Nasdaq 100 E-minis fell 0.11%.
2. Nvidia weighs on AI sentiment
Nvidia shares rose 1.8% in premarket trading after losing about 11% through Thursday, when CEO Jensen Huang quit following reports of alleged extramarital affairs, including one involving a suspected Chinese spy. Nvidia was still on course for its longest streak of weekly losses since October 2012. Investors said the leadership change could bring greater scrutiny to the company's financing arrangements with other AI players.
3. Microsoft outage
Microsoft's Outlook, Teams and Copilot services were down for more than 12 hours on Friday, disrupting communications for businesses and governments worldwide. Microsoft shares fell 2.6% in premarket trading. Investors were also awaiting October producer price inflation data, which could inform expectations for the Federal Reserve's next rate decision; the odds of a 50-basis-point hike stood at about 12%.
