S&P 500’s Record Win Streak in Danger as AI Selloff Continues

The S&P 500’s streak of 10 consecutive weekly gains was at risk as AI-driven stocks faced a selloff, with futures down 0.5% before market open. The Nasdaq 100 also declined 0.5%, reflecting broader market caution ahead of key payrolls data." "article": "The S&P 500’s record 10-week winning streak faced potential disruption on Friday as traders rotated out of artificial-intelligence stocks. Futures for the S&P 500 Index dropped 0.5% at 8:24 a.m. in New York, signaling a possible correction before the market opened. The Nasdaq 100 Index futures also fell 0.5%, mirroring the broader tech selloff. The downturn comes amid investor concerns over AI-related valuations, which have driven recent market gains. Analysts noted that traders were closely monitoring the shift, with some positioning for a pullback ahead of critical economic data. The selloff could impact the S&P 500’s historic run, which had been fueled by strong performance in tech and AI sectors. Market participants awaited Friday’s payrolls report, which could influence Federal Reserve policy expectations. A weaker-than-expected jobs report might ease inflation concerns, while strong data could delay rate cuts. The tension between AI stock performance and macroeconomic trends added uncertainty to the market outlook. The Nasdaq 100, heavily weighted toward AI and tech firms, was particularly vulnerable, with futures declining in tandem with the S&P 500. The shift highlighted growing caution among investors amid volatility in high-growth sectors. Traders emphasized the need for clarity on economic fundamentals to stabilize the market. If the selloff persists, the S&P 500 could miss its 10th straight weekly gain, marking a significant shift in momentum. The situation underscores how sensitive markets remain to sector-specific trends and broader economic signals.