NASDAQ 100 futures indicate a positive start for US markets on Monday; Tech stocks in focus as bond yields cool off

The US stock markets are set to open in the green across the board on Monday after the Federal Reserve Chairman’s dovish comments bolstered investor confidence. The bond yields slipped to 5.06% on Monday, further cooling off pressures on tech stocks.

The NASDAQ 100 futures surged over 340 points or 1.1% on Monday after plunging over 600 points on Friday. Tech stocks in general faced selling pressure in the previous week, with chip stocks plunging as much as 20% for the week. On the flip side, investors rotated their bets away from tech stocks to defensive stocks like Walmart, Coca-Cola, Home Depot, and others, which surged over 6% for the week.

How did the US markets perform last week?

The US witnessed the sharpest weekly fall on the NASDAQ 100 index since March 2025, erasing 5.49% gains from the previous week. Among the major losers, Rocket Lab Corporation (-26%), CoreWeave Inc (-25.8%), SanDisk Corporation (-20.4%), and Seagate Holdings (-18.5%).

Among the Magnificent Seven pack, Apple Inc (+3.4%) and Microsoft Corporation (+0.1%) were the only top gainers for the week, while NVIDIA (-8.4%), Alphabet Inc (-3.4%), Amazon Inc (-2.5%), Tesla (-7.2%), SpaceX (-11.6%), and Meta Platforms (-2.4%) were the key losers for the week.

The pessimism was largely driven by risks arising from an increase in borrowing costs, impacting cash flow operations of the AI hyperscalers and the AI ecosystem companies. Furthermore, a sharp plunge in CoreWeave’s creditworthiness worried investors about the overheated valuations of AI stocks.

How did the Asian market close on Monday?

The Asian markets started the week on a mixed note after the Japanese markets closed in red with 0.5% losses. However, the Korean Kospi saw a strong recovery from lower levels, jumping 1.4%. Meanwhile, the Indonesian stock market extended its fall, slumping 5% on Monday, after dropping 11% on Friday, following its reclassification to standalone market status by MSCI.

Stocks to watch in today’s trading session