Stock Market Today: Live Updates

Dow futures rose slightly on Tuesday night, but futures tied to the tech-heavy Nasdaq fell as investors continued to grapple with where mega-cap tech stocks are headed.

Dow Jones Industrial Average futures rose 36 points, or nearly 0.1%. S&P 500 futures fell nearly 0.2%, and Nasdaq 100 futures fell nearly 0.4%.

Wall Street is emerging from a decline in major stock averages. The S&P 500 fell 1.2% and the Nasdaq Composite fell 2%. The Dow Jones Industrial Average fell 251 points, or 0.5%.

This comes after Palantir fell about 8% despite the highest expectations for the third quarter, leaving investors concerned that the software company, and the broader AI theme, was no longer able to sustain its valuation. After all, Palantir is trading at more than 200 times forward earnings.

However, many investors remain optimistic that long-term trends remain favorable for tech stocks, even with a short-term pullback, given the strength in spending on AI infrastructure.

“I don’t think this is an issue today,” Liz Young Thomas, SoFi’s head of investment strategy, told CNBC’s “Closing Bell” on Tuesday. “So far, I think this extension is ultimately something to be concerned about, but I still think we’re going into the end of the year.”

“I think the chase is still on. I think the large-cap love affair is still on, and that’s probably not going to change long-term,” she continued. “But today I think we were looking for an excuse.”

On the economic front, investors will continue to seek clarity using alternative data instead of government reports. The ADP Civilian Payroll Report is expected to be released on Wednesday. Weekly mortgage application and ISM service data is also on deck.

Earnings season continues with McDonald’s reporting before the start of trading on Wednesday. Of the 360 ​​S&P 500 companies that have reported so far, about 82% beat expectations, according to FactSet data. The S&P 500’s overall growth rate is expected to be more than 12%.