Nasdaq futures slip as tech selloff accelerates amid debt worries

Technology-focused futures declined as the recent selloff in artificial intelligence and high-growth stocks deepened, driven by renewed concerns over debt levels in the sector. The weakness reflects a broader reassessment of valuations following a period of strong gains fuelled by enthusiasm over AI applications.

Investors are now turning their attention to upcoming producer price data, which is expected to provide critical insights into factory-level inflation. These figures could influence market sentiment and central bank policy expectations across the region, potentially affecting how investors view the sustainability of current valuations.

The decline in futures markets signals caution among traders heading into data releases that could reshape economic outlooks. Companies with heavy debt burdens or high growth expectations tied to AI adoption may face additional scrutiny as markets reassess risk.

Market observers note that the pullback, while notable, reflects natural profit-taking after substantial gains. However, the persistence of selling pressure suggests that fundamental concerns about debt and inflation remain at the forefront of investor decision-making in the current environment.