U.S. Stock Futures Plunge Amid Recession Fears

U.S. stock index futures tumbled on Monday, with the Nasdaq dropping nearly 5%, as fears of a recession gripped global markets. Megacap stocks like Apple, Nvidia, and Microsoft fell significantly. Weak job data and shrinking manufacturing activity fueled concerns, prompting traders to anticipate significant rate cuts by the Federal Reserve.

U.S. stock index futures tumbled on Monday, with the Nasdaq sliding nearly 5% as fears of a potential recession gripped global markets. Weak economic data and dismal forecasts from tech giants triggered a sell-off.

Markets from Asia to Europe suffered large losses, and bond yields declined as investors flocked to safe-haven assets. The Nasdaq 100 and Composite saw major declines, with stocks like Apple, Nvidia, and Microsoft taking substantial hits in premarket trading.

Investor unease was reinforced by a weak jobs report and shrinking manufacturing activity in the U.S., causing predictions of significant interest rate cuts by the Federal Reserve. Wall Street's fear gauge, the CBOE Volatility Index, surged to its highest since April 2020. Prominent Fed officials are slated to speak this week, potentially providing further clues on monetary policy.