Stock futures are little changed after tech sell-off drags down S&P 500: Live updates

S&P 500 futures traded near the flatline on Monday night after a sell-off in tech giants dragged down the broad market index.

S&P 500 futures lost 0.1%, and Nasdaq 100 futures slid 0.2%. Futures tied to the Dow Jones Industrial Average rose 22 points, or less than 0.1%.

During the day’s regular session, a decline in the technology sector pulled the S&P 500 to a loss of 0.37%. The tech-dominant Nasdaq Composite fell 1.32%. On the other hand, a gain in shares of Caterpillar boosted the Dow by 148.01 points, or 0.29%.

Asia-Pacific markets were set to open higher Tuesday as investors welcomed signs of progress in U.S.-Iran negotiations. Japan’s Nikkei 225 was poised to gain, with the Chicago futures contract at 73,020 and its Osaka counterpart last trading at 73,090 compared with the index’s previous close of  72,353.96.

Hong Kong Hang Seng index futures were at 23,830, higher than the index’s last close of 23,768.52.

In Australia, futures last traded at 8,831, compared with the S&P/ASX 200‘s previous close of 8,816.10.

Investors rotated out of the “Magnificent Seven” names on Monday, with Amazon dropping nearly 5% and Meta Platforms falling 2%. Alphabet shares slipped 5%, notching their worst daily performance in over a year, as brain drain concerns mounted following the departure of two high-profile artificial intelligence researchers for rivals.

Elon Musk’s rocket maker SpaceX fell 16% and posted its third straight negative session.

“Anything AI- and tech-related is still an area of focus for retail traders. They’re just not as active in individual stocks as they have been in the past,” said Liz Ann Sonders, chief investment strategist at Charles Schwab, on CNBC’s “Closing Bell” on Monday afternoon. “Not a disinterest in the broader technology or AI space, it’s just the vehicles. I think it’s a little bit more of a focus on ETFs more broadly, as opposed to those individual stock trades.”

Sonders added that corporate earnings continue to serve as the most important underlying support for stocks at the moment.

Also on Monday, oil prices slipped after mediating parties Qatar and Pakistan made a joint statement detailing that the U.S. and Iran have made progress during talks in Switzerland toward reaching a final deal within 60 days. This includes an agreement to establish a committee and end military operations in Lebanon. The U.S. Treasury Department later authorized the sale of Iranian oil through August, causing oil prices to trade around their session lows.

Carnival and Korn Ferry will report earnings before Tuesday’s opening bell. Traders will also watch for June’s preliminary S&P Global PMI manufacturing and services readings.