Economic Jitters Pressurize U.S. Stocks Amid Tech Valuation Woes

U.S. stock futures fell on Friday as tech sector valuations and economic concerns heightened investor worries. Main indexes are heading for significant weekly losses, with Nasdaq seeing its worst performance since March. Tech optimism faces challenges as AI monetization doubts emerge amid increasing market volatility.

U.S. stock futures slipped early on Friday, signaling steep weekly declines for major indexes. The tech-heavy Nasdaq, along with the S&P 500 and the Dow, faces notable drops amid growing concerns over lofty valuations in the technology sector and broader economic uncertainties.

Earlier this week, warnings from Wall Street executives about a possible market correction intensified volatility, with the Nasdaq plummeting nearly 2% on Tuesday. Despite optimism spurred by advancements in artificial intelligence, worries about the sector's monetization dampen investor enthusiasm.

Economic uncertainty continues as private indicators, in the absence of government data due to a shutdown, guide the market. Investors are left in suspense, awaiting crucial federal reports. Meanwhile, some companies like Expedia and Sandisk reported positive earnings, though others, such as Block, faced significant downturns.

(With inputs from agencies.)