U.S. stock futures edged lower Monday as investors prepared for a week packed with tech sector earnings and key economic data releases. Chipmaker Micron is among the most closely watched companies, with analysts eager for insight into the ongoing surge in artificial intelligence-related enthusiasm. Meanwhile, shares of Indian IT firms declined after the U.S. introduced a new H-1B visa fee, and BYD’s stock fell following reports that Warren Buffett’s Berkshire Hathaway has fully divested its stake in the electric vehicle manufacturer.
Futures show modest declines
By early Monday trading, Dow Jones futures were down 87 points, or 0.2%, S&P 500 futures had dropped 12 points, or 0.2%, and Nasdaq 100 futures fell 46 points, also 0.2%. Last week, Wall Street’s major indices posted consecutive record closes, with volume hitting levels not seen since April. The S&P 500 and Nasdaq Composite recorded a third straight weekly gain, buoyed by the Federal Reserve’s recent 25-basis-point rate cut and signals of further reductions in the months ahead.
Among individual movers, FedEx shares rose following a stronger-than-expected quarterly report, while Apple ticked higher after JPMorgan Chase raised its price target for the tech giant.
Micron and other tech earnings on the radar
Attention now turns to a series of tech earnings reports this week, with analysts watching for updates on AI-driven growth. Micron (NASDAQ:MU) is scheduled to report after Tuesday’s market close. Optimism has been high around the memory chip maker following strong results from peers like Broadcom (NASDAQ:AVGO) and Oracle (NASDAQ:ORCL), alongside favorable analyst previews, according to Vital Knowledge.
Other notable tech names reporting this week include Apple supplier Jabil, which anticipates strong demand for AI-driven data center infrastructure, and consulting firm Accenture, whose earnings will be scrutinized for potential AI-related impacts.
Visa fees and Indian IT sector pressure
U.S. mega-cap tech stocks held steady in early Frankfurt trading following the White House announcement of a $100,000 annual fee for H-1B visas. Microsoft, Alphabet, Goldman Sachs, and other companies warned employees about potential travel and work disruptions.
Shares of Indian IT firms—including Tech Mahindra, Tata Consultancy, and Infosys—tumbled in response, reflecting the role of U.S.-based projects in their revenue streams. The new fees, combined with President Trump’s recent doubling of tariffs on Indian oil imports to 50%, could pose longer-term headwinds for the sector.
BYD shares fall after Berkshire Hathaway divestment
BYD (USOTC:BYDDF) dropped in Hong Kong and mainland trading after reports that Berkshire Hathaway fully exited its position in the EV company. Hong Kong-listed BYD shares fell 3.5% to HK$109.50, while mainland shares lost 1%, dragging the Hang Seng index down 1%. Berkshire confirmed the exit after previously reporting that its stake had declined to nearly zero value. The company had gradually reduced its holdings since mid-2022, cutting its stake to under 5% by last year.
Gold climbs to record levels
Gold prices extended their gains Monday, supported by expectations of further U.S. rate cuts following the Fed’s recent move. Spot gold rose 0.9% to $3,715.50 an ounce, while gold futures gained 1.2% to $3,750.20/oz. Investors continue to watch upcoming U.S. economic data, including the Fed’s preferred inflation indicator, and comments from key policymakers. Lower rates remain favorable for non-yielding assets such as gold, while broader metals also benefited from the central bank’s easing.
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