IXIC: Nasdaq Futures Gain as Traders Bid Up AI Plays Despite $100 Oil

Tech stocks are holding up better than the wider market, but rising energy prices, elevated bond yields and Friday’s inflation report leave the index facing a demanding three-part test.

💻 Tech bends without breaking

• The Nasdaq Composite slipped 0.3% Tuesday to 26,421.41, outperforming the Dow’s 1.2% drop and the S&P 500’s 0.6% decline.
• That relative strength suggests investors are holding onto their tech portfolios amid increased inflation uncertainty. Even more, Nasdaq futures were up another 0.3% ahead of Wednesday’s opening bell.
• Semiconductors provided the brighter side of the split. The Philadelphia Semiconductor Index gained 1.3%, helped by Intel, Qualcomm and other AI-infrastructure names. Salesforce, Intuit and ServiceNow fell between 4% and 5%, dragging the broader software-and-services group down 1.4%.

🛢️ Oil joins the valuation debate

• Brent crude climbed toward $100 earlier this morning after fresh attacks involving Saudi cities, Iranian tankers and a US base in Jordan.
• Higher oil can lift transportation and production costs across the economy, potentially slowing growth while keeping inflation elevated—a combination growth-stock investors traditionally file under “please, no.”
• Nasdaq companies are especially sensitive to interest rates because much of their valuation reflects profits expected years into the future. When Treasury yields rise, those future earnings are worth less in today’s money. The 10-year yield recently touched roughly 4.81%.
• Still, US equity futures were broadly steady Wednesday and AI-heavy Asian markets proved resilient. Japan’s Nikkei rose about 0.6%, South Korea’s Kospi gained 1.6% and Taiwan advanced 0.6%.

📊 CPI holds the next major key

• Friday’s US consumer price report is the next scheduled test. Economists expect headline inflation to rise around 0.4% month over month. The market reaction may depend on whether the oil shock has started spreading into all the prices.
• Traders currently see the Federal Reserve’s September decision as close to a coin toss between holding rates steady and raising them by a quarter point. A hotter CPI report could lift yields and pressure the Nasdaq; softer inflation would give technology valuations some badly needed breathing room.
• This said, Nasdaq resilience becomes more convincing if chips keep outperforming while yields stabilize. If oil clears $100 and bonds continue selling off, yesterday’s modest decline could prove merely the opening notification.