Wall Street Futures Slide as Nvidia Pullback and Inflation Jitters Darken Week’s End

U.S. stock index futures fell on Friday, signaling a cautious close to the week as renewed pressure on technology shares combined with investor nerves ahead of key U.S. inflation data.

At 05:05 ET (10:05 GMT), Dow Jones Futures were down 250 points, or 0.5%, S&P 500 Futures slipped 0.4%, and Nasdaq 100 Futures declined 0.3%.

Tech weakness drags sentiment

Wall Street delivered a mixed performance on Thursday, with tech stocks once again underperforming. The S&P 500 fell 0.5%, while the Nasdaq Composite slid 1.2%, weighed down by losses in mega-cap technology names. In contrast, the Dow Jones Industrial Average edged slightly higher, supported by rotation into non-tech sectors.

For February, the divergence has been stark: the Nasdaq is down about 2.5% for the month, the S&P 500 has lost roughly 0.4%, while the Dow is up 1.2%, benefiting from investor preference for more defensive and value-oriented stocks.

Nvidia (NASDAQ:NVDA), the world’s most valuable company, was the biggest drag on markets Thursday, tumbling more than 5% despite reporting strong quarterly earnings. Investors appeared focused on questions around shareholder returns and rising cash balances, alongside profit-taking after a strong pre-earnings rally.

Salesforce (NYSE:CRM) shares bucked the broader tech trend, rising even after issuing a subdued revenue outlook. Analysts described the results as “no worse than feared,” offering modest relief to investors.

Netflix steps aside in Warner Bros bidding war

Netflix (NASDAQ:NFLX) drew attention after surging more than 6% in premarket trading. The streaming giant confirmed it would not raise its bid for Warner Bros Discovery (NASDAQ:WBD), after Warner determined that Paramount Skydance’s revised $31-per-share offer was superior.

Netflix said matching the higher bid would no longer be financially attractive, effectively signaling an end to one of the most high-profile takeover battles in the media sector. Even so, Netflix stands to receive a $2.8 billion termination fee should Warner proceed with Paramount’s offer, with shareholders scheduled to vote on the Netflix deal on March 20.

Big movers: layoffs and losses

Elsewhere, Block (NYSE:XYZ) surged 18% after announcing plans to cut more than 4,000 jobs—nearly half its workforce—as part of a sweeping restructuring aimed at embedding artificial intelligence across its operations.

CoreWeave (NASDAQ:CRWV), however, slid more than 10% after reporting a wider-than-expected loss and flagging even higher capital expenditure plans, unsettling investors already wary of heavy spending across the cloud and AI infrastructure space.

Inflation data in focus

Looking ahead, markets are bracing for the release of January’s U.S. Producer Price Index (PPI), a key gauge of wholesale inflation. Economists expect both headline and core PPI to rise 0.3% month-on-month.

Chicago Fed President Austan Goolsbee reiterated expectations for multiple interest-rate cuts later this year, but cautioned that the Federal Reserve must proceed carefully to avoid reigniting inflation or overheating the economy.

With tech under pressure, inflation data looming, and investor confidence fragile, markets appear set to end the week on a cautious note.