Nasdaq Futures Rebound From Tech Selloff, Oil Dips: Markets Wrap
(Bloomberg) — US equity-index futures rebounded from last week’s chip rout, offering some respite ahead of key earnings that may set the market’s direction amid mounting pressure on the artificial intelligence trade. Oil fell.
Contracts on the Nasdaq 100 Index advanced 1.3%, while those for the S&P 500 climbed 0.8% following Friday’s selloff on Wall Street. Last week’s losses saw a closely watched semiconductor gauge post its longest run of declines since 2008, while the volatility index recorded its biggest jump since June. The MSCI Asia Pacific Index erased earlier losses and traded little changed.
European stock futures edged 0.3% lower and French 10-year bond futures eased after widespread protests in France over the weekend. The euro weakened against most of its Group-of-10 peers, while US Treasuries rose on haven demand. Bitcoin climbed more than 2% to above $82,500.
Oil retreated from a five-month high as traders weighed flare-ups in fighting in the Middle East against signs supply from the region was holding near pre-war levels. Global crude oil benchmark Brent dropped 1.8% to $107.85 a barrel.
Earnings from US megacap companies including Tesla Inc. and Meta Platforms Inc. this week will test investor confidence in the AI trade after its recent setbacks. Some investors are betting that accelerating US inflation and tremors across the AI sector will amplify swings in tech shares and spill over into the broader market.
Markets are in “a classic period of heightened uncertainty,” said Kyle Rodda, a senior analyst at Capital.com in Melbourne. “Several things are colliding at the same time. AI earnings are coming up, interest-rate uncertainty is persistent and the midterms are a few weeks away.”
Netflix Inc. reports Tuesday, followed by Tesla, Meta and International Business Machines Corp. the following day.
What Bloomberg’s Strategists Say…
“Investors are in a skittish mood amid a fluid geopolitical situation and it is a big week for earnings which includes Meta, the new poster child for AI themes. However, dip buyers may see this period as a window to step in after a deep selloff for chipmakers in recent sessions.”
— Mark Cranfield, MLive Strategist. Click here for the full analysis.
Last week’s rout in chip stocks raised concerns about the AI trade after a runaway rally earlier this year. The latest selloff has taken a particular toll on CoreWeave Inc., a cloud-computing services provider that counts Nvidia Corp. as one of its biggest backers.
Nvidia Chief Executive Officer Jensen Huang late last week took a sanguine view toward the rout, saying “all of this is going to pass.” He encouraged investors to look beyond near-term reports and concentrate on the long-range value of the technology.
“Ultimately, earnings will test whether last week’s AI selloff was an overreaction or a warning sign, with investors watching closely for any opportunity to dip their toes back into the long-term AI trade,” said Marc Jocum, a senior investment strategist at Global X Management. “The results could shape positioning for the next leg of the market rally.”
Investors are bracing for further swings across stocks and bonds as questions grow over whether massive spending on AI infrastructure will deliver sufficient returns. A measure of bond volatility also remains elevated, while persistent fuel and food inflation is adding pressure on central banks.
US Treasuries are showing tentative signs of reclaiming their traditional role as a haven — threatening to wrong-foot investors who are heavily positioned for this year’s bond slump to deepen.
Yield on the Treasury 10-year note slipped one basis point Monday to 5.06%.
Gold opened the week higher as traders pared bets on the Federal Reserve raising interest rates this month after remarks by Chair Kevin Warsh on Friday. Bullion rose 0.4% to $4,180 an ounce.
Mainland Chinese equities were steady after economic growth accelerated more than expected in the third quarter, increasing the likelihood that Beijing will meet its annual target. Indonesian stocks extended their selloff.
As concerns mount across markets over the outlook for leading AI firms and the potential impact on the broader economy, US 10-year yields fell about 17 basis points last week while the Nasdaq 100 Index tumbled 5.5%.
“The market is particularly prone to ‘tantrums’ when credit concerns emerge, given the rapid capex growth we saw in 2026,” said Yugo Tsuboi, chief strategist at Daiwa Securities. “Rather than money leaving the equity market altogether, investors are likely to shift toward safer areas of the market.”
Corporate News:
Nscale Ltd. is facing opposition to the valuation target it’s pursuing in its initial public offering, according to people familiar with the matter, after a series of market setbacks for artificial intelligence companies. EQT AB has agreed to buy Australia’s Cleanaway Waste Management Ltd. through a unit, in a deal that values the firm at about A$9.3 billion ($6.5 billion). Some of the main moves in markets:
Stocks
S&P 500 futures rose 0.8% as of 6:50 a.m. London time Nasdaq 100 futures rose 1.3% The MSCI Asia Pacific Index was little changed The MSCI Emerging Markets Index fell 0.1% Japan’s Topix was little changed The Shanghai Composite rose 0.6% Euro Stoxx 50 futures fell 0.3% Currencies
The Bloomberg Dollar Spot Index was little changed The euro was little changed at $1.1231 The Japanese yen was little changed at 158.07 per dollar The offshore yuan was little changed at 6.6805 per dollar The British pound was little changed at $1.3333 Cryptocurrencies
Bitcoin rose 2.1% to $82,586.63 Ether rose 3.3% to $2,426.76 Bonds
The yield on 10-year Treasuries was little changed at 5.06% Japan’s 10-year yield declined 2.5 basis points to 2.905% Australia’s 10-year yield was little changed at 5.23% Commodities
Spot gold rose 0.5% to $4,185.30 an ounce West Texas Intermediate crude fell 1.6% to $99.80 a barrel This story was produced with the assistance of Bloomberg Automation.
–With assistance from Matthew Burgess, Momoka Yokoyama and Faseeh Mangi.
©2026 Bloomberg L.P.
