US pre-open: Futures slip as markets pull back from record highs

(Sharecast News) - US stock futures were pulling back on Tuesday after all three of Wall Street's benchmark indices set new closing highs the previous session, with investors closely watching the latest developments in the Middle East. Stock futures on the Dow were 0.4% lower, while the S&P 500 slipped 0.2% and the Nasdaq was down 0.1%.

Tech stocks powered markets to new highs on Monday after a new product announcement from Nvidia prompted massive gains in the heavyweight chip sector. Nvidia unveiled a new superchip jointly developed with Microsoft that promises to "reinvent Windows PCs for the era of personal AI agents", equipping PCs with AI capabilities locally, rather than relying on cloud computing.

Oil prices were retreating slightly after Israel halted strikes on Lebanon. Brent crude jumped more than 4.2% on Monday and WTI crude rose 5.5% following reports that Iran has suspended peace talks with the US until Israel ends its operations in Lebanon.

Before US markets opened on Tuesday, however, Brent was down 1.2% at $93.88 a barrel, while WTI was 1.1% lower at $91.15.

AI mania continued on Tuesday after Anthropic confirmed plans to debut on the New York Stock Exchange, in what is expected to be one of the biggest-ever initial public offerings. In a brief update posted late on Monday, the American AI specialist, known for its Claude chatbot, said it had confidentially submitted draft paperwork to the US Securities and Exchange Commission.

"With the last funding round implying a valuation of $965 billion as a private company, there will be every expectation that Anthropic can become the latest name to get behind the rope in the exclusive $1 trillion club," said Russ Mould, investment director at AJ Bell.

In other equity news, US-listed shares of semiconductor group STMicroelectronics were set to surge again after the European chip contract manufacturer raised revenue guidance for its data centres business. Data centre revenues are now tipped to be around $1bn in 2026, compared with the previous target of "nicely above $500m", while 2027 revenues could double, the company said. Stock futures were up around 11%.

In contrast, Abivax's shares plunged after the French pharma company reported adverse side effects from a late-stage clinical trial of its experimental bowel-disease drug, obefazimod. Stock futures for the Nasdaq-listed firm were down nearly 30% in pre-market trade.

Tuesday's economic data calendar looked relatively light, though investors will be focusing on the JOLTS job openings survey for April due at 1500 BST.