Nasdaq futures rose as optimism around ASML (ASML, Financial) orders boosted chip stocks. However, market sentiment remained cautious with major tech earnings and the Federal Reserve's interest rate decisions on the horizon. The Nasdaq 100 futures climbed 0.4%, following a significant rise in the previous session. Meanwhile, S&P 500 futures fluctuated slightly above flat, and Dow Jones Industrial Average futures showed little change.
While the Federal Reserve is expected to keep rates unchanged, the upcoming policy statement has prompted caution. Investors are eager for insights from Federal Reserve Chair Jerome Powell regarding potential rate cuts and any stance change concerning tariffs imposed by President Trump.
ASML's unexpected order growth provided a boost to tech stocks recovering from the week's earlier downturn. ASML shares rose 7% in pre-market trading, positively impacting peers like Applied Materials (AMAT). Meanwhile, the Chinese startup DeepSeek's AI spending assumptions are being scrutinized calmly by the market.
Alibaba (BABA) launched a new AI model, claiming superiority over DeepSeek's ChatGPT rival, leading to a significant share price increase. OpenAI, supported by Microsoft (MSFT), alleged that DeepSeek used its proprietary model for training, escalating the issue. Attention is now on Meta (META) and Microsoft's after-hours earnings to gauge returns on AI investments by major tech firms. Tesla (TSLA) is also set to release earnings, with Wall Street eyeing new catalysts for stock momentum.
