Nasdaq futures gain as chip stocks rebound from Friday’s rout, Trump tries to maintain ceasefire: Live updates
Nasdaq and S&P 500 futures rose early Monday as chip stocks staged a recovery following last week’s intense sell-off. Investors are balancing optimism over a technology rebound against rising geopolitical tensions, as President Donald Trump works to maintain a fragile ceasefire between Israel and Iran following recent reciprocal strikes.
S&P 500 futures gained 0.40%, while Nasdaq 100 futures climbed 0.75%. In contrast, futures tied to the Dow Jones Industrial Average fell 18 points. This shift follows a turbulent Friday, where the Nasdaq Composite recorded its worst single-day drop since April 2025, falling 4.2% as investors locked in profits amid broader economic uncertainty.
The iShares Semiconductor ETF experienced a 2.4% gain in early trading on Monday, a notable reversal after suffering its worst single-day performance in more than six years during Friday’s 10% plunge.
Market Drivers and Geopolitical Volatility
The semiconductor sector, which has been a primary engine of the recent bull market, showed signs of stabilization early Monday. Micron shares rose more than 3% in premarket trading, clawing back some of the 13% decline sustained on Friday. Nvidia and Broadcom also saw gains, signaling a potential cooling of the aggressive profit-taking that dominated the end of last week.
Geopolitical friction remains a significant pressure point for global markets. Following Sunday’s strikes by Iran, WTI crude oil surged 3.4% to $93.95 a barrel. While the Israel Defense Forces (IDF) reported a “large-scale strike on strategic defense systems” in response to the attacks, oil prices retreated from their daily highs after President Trump stated that both nations are looking to pursue an immediate ceasefire.
Callie Cox, chief market strategist at Ritholtz Wealth Management, suggests the market may be grappling with its own success. She notes that while the labor market has improved, persistent inflation remains a looming risk. According to Cox, the current growth and momentum in equities—which have outpaced other metrics since the March lows—could prove vulnerable if cost pressures remain elevated in a high-rate environment.
What Lies Ahead for Investors
Market sentiment is likely to be tested by upcoming inflation data and the highly anticipated public debut of Elon Musk’s SpaceX, scheduled for Friday. Analysts view the SpaceX offering as a potential landmark event for Wall Street, serving as a critical test for the current AI valuation narrative.
History suggests that blockbuster IPOs can sometimes mark the peak of market excess. As Callie Cox noted, there is a sense of “awkward silence” regarding what this massive offering might signal for investor sentiment. While many market participants currently appear restrained and skeptical, the sheer scale of the SpaceX debut could force a shift in that temperament as the week progresses.
Frequently Asked Questions
What is the current status of the conflict between Israel and Iran?
According to President Trump, both nations are looking to achieve an immediate ceasefire and negotiations are proceeding, despite reports of strikes and counter-strikes occurring over the weekend.
How did Asia-Pacific markets react to the recent U.S. market slump?
Markets in the region saw significant declines on Monday. The South Korean Kospi fell more than 8% to 7,484.41, and Japan’s Nikkei 225 dropped 3.85% to 64,024.6.
Why is the upcoming SpaceX IPO considered significant?
The SpaceX offering is expected to be one of the largest in Wall Street history. It is viewed as a major test for the AI valuation narrative and a potential indicator of broader market sentiment regarding peak valuations.
How do you expect the market to balance these geopolitical risks against the upcoming high-profile technology IPOs?