Signs of an Upsurge on Wall Street! Technology Stocks

On Thursday evening, U.S. stock futures gained and gave a slight recovery signal after a sharp sell-off in technology stocks on Wall Street.

Dow Jones Industrial Average futures rose by 0.2%, S&P 500 by 0.3%, and Nasdaq 100 futures also increased by about 0.3%.

This recovery came after a day when the main indices experienced declines; the Nasdaq Composite Index lost 1.9%, while the Dow dropped nearly 400 points. The S&P 500 closed the week down 1.8%, while the Dow and Nasdaq fell by 1.4% and 2.8% respectively, preparing investors to finish the week in negative territory.

Tesla approved a $1 trillion compensation package for Elon Musk at a shareholder meeting held in Austin. The announcement of this massive award package temporarily boosted the stock price by 2%, but this increase turned into disappointment during evening trading hours.

In weekend news, the weakness in mega-cap technology and artificial intelligence firms led to a broad decline. Nvidia, Advanced Micro Devices, and Microsoft experienced significant losses, pulling the main indices down.

According to new data, the number of layoffs in October reached the highest level in 20 years, highlighting the possibility of 2009 being the worst year for layoffs since then.

Market participants are focusing on several potential catalysts. The long-standing end of the U.S. government shutdown, a possible Federal Reserve interest rate cut in December, and Nvidia’s upcoming earnings report may balance investor sentiment and revive risk appetite. Meanwhile, the Supreme Court reviewing former President Donald Trump’s customs policies adds another layer of uncertainty.

The Bureau of Labor Statistics was expected to release the October non-farm payroll report on Friday, but its publication was postponed for the second month in a row due to the government shutdown. Economists anticipate a loss of 60,000 jobs and expect the unemployment rate to rise to 4.5%.