Stock futures in the US plunged on Monday, with contracts on the S&P 500 futures losing 3%, the Nasdaq 100 sinking 4.8%, and the Dow Jones falling almost 700 points, amid increasing worries over a potential US economic slowdown and recession. Concerns were raised last week after a disappointing ISM Manufacturing PMI and intensified after a week jobs report.
The ISM Services PMI due later in the day will provide further updates on the health of the services sector. Meanwhile, weaker-than-expected earnings from leading tech companies and uncertainty surrounding the AI sector added to the negative sentiment. Shares of Nvidia were down about 10% in premarket trading and other megacaps were also sharply lower, including Microsoft (-5.3%), Apple (-8.9%), Amazon (-5.7%), Meta (-6.6%) and Alphabet (-6%). Other big decliners include Tesla (-7.5%), Broadcom (-8.5%), AMD (-5.4%) and Qualcomm (-5.8%).
