Tech Sell-Off Weighs on Futures as Market Awaits Key Economic Data and Earnings

Core Viewpoint - U.S. stock futures indicate a subdued market opening, particularly in the technology sector, as investors await key economic data, including the employment report [1][5] Premarket Activity and Index Futures - S&P 500 futures are down 0.1% and Nasdaq futures are down 0.2%, while Dow Jones futures remain unchanged, reflecting a continuation of sector rotation [2] - The CBOE Volatility Index (VIX) rose 3.6% to 18.64, indicating increased investor apprehension [2] Major Index Performance Overview - On February 4, 2026, the Dow Jones Industrial Average rose 0.5% to 49,501.30, attributed to a rotation into value stocks [3] - The Nasdaq Composite fell 1.5% to 22,904.58, and the S&P 500 dropped 0.5% to 6,882.72, highlighting a divergence in index performance [3] Sectoral Performance - Technology Select Sector SPDR (XLK) fell 2.2%, Communication Select Sector SPDR (XLC) dropped 1.6%, and Health Care Select Sector SPDR (XLV) decreased by 1% [4] - Energy Select Sector SPDR (XLE) gained 3.2%, Materials Select Sector SPDR (XLB) rose 2.1%, Consumer Staples Select Sector SPDR (XLP) increased by 1.6%, and Utilities Select Sector SPDR (XLU) went up 1.5% [4] Upcoming Market Events - The Employment Situation report for January 2026 is scheduled for release on February 6, 2026, which will provide insights into the labor market [5] - The Consumer Price Index (CPI) for January 2026 is due on February 11, 2026, and the Producer Price Index (PPI) for January 2026 is set for February 27, 2026 [5] Major Stock News and Corporate Announcements - Amgen Inc. shares rose 8.2% after reporting adjusted earnings of $5.29 per share, exceeding expectations [7] - Advanced Micro Devices (AMD) reported non-GAAP earnings of $1.53 per share and revenues of $10.27 billion but saw a stock drop of 17.3% due to concerns over future revenue forecasts [8] - Uber Technologies (UBER) stock fell 5.1% after reporting quarterly results that missed expectations and provided a weaker profit forecast [9] - Lumentum Holdings Inc. shares surged 47% after reporting adjusted earnings of $1.67 per share, surpassing estimates [10] - Chipotle Mexican Grill Inc. advanced 1.9% after posting fourth-quarter earnings that exceeded estimates, despite issuing weak guidance [11] Broader Market Trends - Alphabet (GOOGL) shares fell 3% despite a 30% increase in fourth-quarter profits, due to projected heavy spending on AI projects [13] - Qualcomm (QCOM) stock dropped nearly 12% after warning of an industry-wide memory shortage impacting future results [13] - The cryptocurrency market saw Bitcoin fall nearly 5%, affecting related stocks like Robinhood Markets Inc. [14]