Nasdaq futures slip on AI spending and Fed rate worries

U.S. stock futures edged lower Thursday evening, with Nasdaq futures falling 0.4% as investors worried about technology valuations and the cost of financing AI infrastructure. S&P 500 futures slipped 0.1%, while Dow futures rose 0.1%. The caution followed a tech-led selloff triggered by hotter-than-expected inflation data, which revived concerns about further Federal Reserve rate increases. Nvidia fell 1.8%, while server makers Dell and Hewlett Packard Enterprise dropped over 6%, and the Philadelphia Semiconductor Index extended its losing streak to seven sessions. Investors questioned whether AI revenue growth justifies massive spending on data centers and chips, especially as borrowing costs rise. Producer prices rose more than expected in September, though Treasury yields retreated to around 5.09%. Markets priced in a 67% probability of a Fed rate increase by December.