US stock futures traded mixed on Tuesday as another wave of selling in semiconductor stocks dampened investor sentiment, while markets awaited earnings from megacap technology companies and the Federal Reserve's latest policy decision.
During Monday's regular session, the Dow and S&P 500 gained 0.51% and 0.02%, respectively, while the tech-heavy Nasdaq Composite slipped 0.18%.
Fresh concerns that circular AI financing arrangements could unravel if hyperscalers scale back capital spending continued to pressure chipmakers, with Micron (-2.3%), Nvidia (-5%), Sandisk (-11%), AMD (-5.2%), and SK Hynix (-7.5%) posting steep losses.
Investors are now focused on earnings from Amazon, Meta Platforms, and Microsoft later this week for further insight into hyperscaler spending, while Apple is also scheduled to report its results.
Meanwhile, the Fed is widely expected to leave interest rates unchanged on Wednesday, with markets continuing to price in the possibility of a rate hike in September.