S&P 500 Futures Slip as Tech Selloff Extends Losing Streak

CNBC reported Monday night that S&P 500 futures slipped roughly 0.23% after a broad tech selloff pushed the index to consecutive daily losses. Nasdaq 100 futures dropped 0.45%, while Dow Jones futures shed around 51 points. The tech selloff, centered on memory chip names, rattled investor confidence following a strong recent rally.

Memory Chips at the Heart of the Tech Selloff

Seagate shares tumbled nearly 7% after CEO Dave Mosley made remarks at a JPMorgan conference. His comment that building new factories “would just take too long” stoked fears over the company’s capacity to meet surging AI-driven demand. Peer Micron Technology fell close to 6% in sympathy. Broader AI-adjacent stocks also declined through the session. The Nasdaq Composite finished 0.51% lower, while the S&P 500 edged down 0.07%. The Dow bucked the pressure, gaining roughly 160 points, or 0.32%.

A Rally That May Have Peaked

Both the S&P 500 and Nasdaq hit fresh record highs last week. The Dow briefly recaptured the 50,000 level in that same stretch. However, Kevin Gordon, head of macro research and strategy at the Schwab Center for Financial Research, cautioned that the sharpest gains may already be behind markets. Speaking on CNBC’s Closing Bell: Overtime, Gordon noted that stretched positioning makes a repeat of the steep post-March rally unlikely.

Geopolitics and Economic Risks in Focus

President Donald Trump announced via Truth Social that a planned strike on Iran, originally scheduled for Tuesday, has been postponed. Three regional Middle Eastern leaders reportedly asked him to hold off. Oil prices eased slightly on the news, lifting Asia-Pacific markets at Tuesday’s open. Japan’s first-quarter GDP came in at an annualized 2.1%, above the 1.7% consensus estimate, though analysts noted those figures predate the broader regional conflict that began in late February.

Tech Layoffs Raise Consumption Warning

Separately, Bank of America strategist Savita Subramanian flagged a worrying trend in the labor market. In a note to clients, she warned that 40% of April’s layoffs were concentrated in the technology sector. She described the engine of consumption growth anchored in skilled professional services as “gumming up,” adding that the college-graduate unemployment rate has reached recessionary levels. The warning adds a macro layer of concern to what began as a sector-specific stock story.

Earnings from Home Depot and Eagle Materials are due before Tuesday’s open, giving investors another data point to weigh.

Read Next: Fed Policy Outlook Shifts as Inflation Data Complicates Rate-Cut Timing