Nasdaq Futures Drop Amid Rising Bond Yields, Pressuring Chip Stocks
Nasdaq futures fell sharply in pre-market trading as rising global bond yields dampened investor appetite for risk assets. This triggered a selloff among chip and AI-related stocks such as Sandisk (SNDK), Micron Technology (MU), and Intel (INTC), each dropping more than 5%. Higher bond yields increase the discount rate used to value future earnings, which particularly impacts high-growth tech companies with rich valuations. The rise in government bond yields was driven by geopolitical tensions between the U.S. and Iran, concerns over inflation from rising oil prices, and long-term debt issuance worries. The 30-year T-note yield hit a two-decade high at 5.33%. Investors are now waiting for key economic data releases to gauge potential Federal Reserve rate decisions. While most major tech stocks fell in the previous session—including Meta (META) and Microsoft (MSFT)—some chip stocks rose earlier after reports of strong revenue growth from AI firm Anthropic.
Tickers: $INTC $META $MSFT $MU $SNDK
Topics: AI infrastructure bond yields chip stocks global markets Nasdaq futures