Nasdaq futures slump 2% as soaring yields spark tech rout

Traders operate on the ground of the New York Stock Trade (NYSE) in New York Town, U.S., January 12, 2022. REUTERS/Brendan McDermid

Jan 18 (Reuters) – Futures monitoring the tech-weighty Nasdaq 100 index (.NDX) slumped virtually 2% on Tuesday as traders returned from a very long holiday getaway weekend to situation for a a lot more hawkish Federal Reserve forward of a coverage meeting upcoming 7 days.

Price-delicate technological know-how stocks came underneath tension in Europe and Asia as two-year Treasury yields , which monitor small-expression rate expectations, crossed 1% for the to start with time due to the fact February 2020.

Frankfurt-outlined shares of U.S. megacap tech providers like Google’s Alphabet (GOOGL.O), Apple (AAPL.O), Meta (FB.O), Amazon and Microsoft (MSFT.O) were being final down amongst 1.9% and 2.5%. They were down by similar quantity in early U.S. premarket investing.

At 04:48 a.m. ET (0948 GMT), Dow e-minis ended up down 292 points, or .82%, S&P 500 e-minis were down 57.25 points, or 1.23%, and Nasdaq 100 e-minis had been down 292.5 points, or 1.88%.

Reporting by Sruthi Shankar in Bengaluru and Danilo Masoni in Milan Editing by Maju Samuel

Our Requirements: The Thomson Reuters Trust Rules.