U.S. Stock Futures Fall amid Negative Reaction to Key Earnings, AI Concerns

U.S. stock futures fell on Friday morning as investors remain concerned about AI-led disruption to sectors like software and financials, as well as fears of an AI bubble. Even chip giant Nvidia’s NVDA -5.46% ▼ stellar earnings failed to lift investor sentiment. Meanwhile, investors await the wholesale inflation report today. Futures on the Nasdaq 100 (NDX), the S&P 500 (SPX), and the Dow Jones Industrial Average (DJIA) were down 0.74%, 0.72%, and 0.90%, respectively, at 8:25 a.m. EST on February 27.

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During Thursday’s regular trading, the three major indexes traded mixed. The S&P 500 fell 0.54%, the Nasdaq dropped 1.18%, while the Dow eked out a small gain of 0.03%. Friday marks the final trading day of February, a turbulent month that shook tech stocks amid fears of AI disruption.

Turning to trending stocks, Netflix NFLX +2.29% ▲ stock rallied 8.3% in Friday’s pre-market trading after the streaming giant decided not to raise its bid for Warner Bros. Discovery’s WBD -0.35% ▼ assets to match a new bid from Paramount Skydance PSKY +10.04% ▲ . Shares of PSKY were up 7.7% in reaction to the news.

Meanwhile, Block XYZ +4.99% ▲ stock rallied 20% after the fintech announced that it is laying off 4,000 employees. Also, the fintech company announced a solid outlook for Q1 2026 and the full year. Dell Technologies DELL -1.64% ▼ stock surged 12%, driven by upbeat Q4 results. However, shares of cybersecurity company Zscaler ZS +7.49% ▲ tanked more than 11% after its Q2 FY26 deferred revenue and billings missed expectations.

Also, CoreWeave CRWV -0.39% ▼ stock dropped 12% as the AI-powered cloud company’s Q4 adjusted EBITDA lagged the Street’s estimates.

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