S&P 500, Nasdaq futures climb as chip stocks stabilize

S&P 500 and Nasdaq futures climbed on Monday, June 8, as chip stocks stabilized after a sharp selloff that wiped out over $1 trillion in market value for U.S.-listed companies like Nvidia, Broadcom, and Micron Technology. Nvidia shares rose 1.5% premarket, while Broadcom and Micron Technology climbed 2.6% and 3.9%, respectively, following concerns about rapid sector growth and underwhelming earnings. The market rally came despite renewed strikes in the Middle East, which kept investors cautious. Stronger-than-expected May jobs data also raised expectations of further Federal Reserve interest rate hikes, with a 42% chance of a December increase, according to CME Group’s Fedwatch tool. The upcoming May consumer prices report on Wednesday could provide clarity on inflation pressures, particularly from rising energy costs tied to the Iran war. Oil prices jumped over 4% to $95 a barrel due to Israeli strikes on Iran and attacks in Lebanon, raising fuel costs for airlines like Southwest Airlines, which fell 2.4% premarket. Meanwhile, Marvell Technology surged 6.6% ahead of its inclusion in the S&P 500 index on June 22, while Eli Lilly’s shares rose 4.1% after trial results showed its obesity drug retatrutide reduced sleep apnea severity alongside weight loss benefits. Investors remain divided, with UBS Global Wealth Management’s Mark Haefele noting that while tech stocks face short-term pressure, long-term AI fundamentals remain strong. The Dow e-minis dipped slightly by 0.09%, while Nasdaq 100 e-minis gained 0.69%, reflecting mixed sentiment amid geopolitical and economic uncertainties.