US equity futures fell as a semiconductor sell-off intensified, prompting
investor rotation into other sectors. Nasdaq-100 futures were down more than 2%
and S&P 500 futures fell over 1%. Nvidia (NVDA.O) led the "seven megacaps" lower
in premarket trading; the Philadelphia Semiconductor Index is approaching
bear-market territory and extended Thursday's losses. Despite the S&P 500
closing 0.5% lower on Thursday, 369 constituents rose and 132 fell, signaling
still-healthy market breadth. BARCLAYS strategist Venu Krishna said AI-capex
enthusiasm is cooling, but semiconductors still materially outperform the
broader market while software lags, implying recent rotation is gradual rather
than decisive.
