Nasdaq Futures Slide as AI Valuations Come Under Scrutiny

Stock index futures were mixed before the opening bell on Tuesday, with Nasdaq futures plunging as investors reassessed the valuations driving the AI rally's biggest winners. The selloff followed a Bloomberg report flagging concentrated positioning and stretched multiples across the megacap tech names that have powered the year's gains.

S&P 500 futures edged lower alongside the Nasdaq. Dow futures were slightly higher, propped up by defensive sectors. The rotation out of growth into staples and healthcare accelerated through the pre-market session, traders said.

The trigger appeared to be a research note from a Wall Street strategist arguing that the current AI capex cycle, while real, is priced for perfection. The note questioned whether the revenue trajectory at the leading AI infrastructure plays justifies the equity market's embedding of 10-year growth at current discount rates.

Treasury yields stayed near session highs, with the 10-year at 4.38%, up 2 basis points. The dollar edged higher. Bitcoin was flat near $68,000.

The mixed start suggests the week's catalyst calendar – initial jobless claims Thursday and the core PCE print Friday – will determine whether the AI pullback deepens or stabilizes. For now, the tape is waiting to see whether the correction in growth stocks is a healthy rotation or the start of a broader de-rating.