Nasdaq futures rose Monday morning as investors cautiously re-entered the market following a sharp sell-off in AI-related stocks last week. The tech-heavy Nasdaq 100 futures climbed 1.32%, while Dow Jones Industrial Average futures gained 0.53%, and S&P 500 futures edged 0.2% higher. Stable oil prices and a rebound in energy market sentiment helped support the broader equity market. However, Asian markets mostly declined, with Japan’s Nikkei 225 falling 1.65% and South Korea’s Kospi off 1.29%, as geopolitical tensions and economic concerns weighed on investor sentiment.

The pullback in AI stocks was triggered by worries over growth sustainability after reports showed Anthropic’s third-quarter revenue hit $16.8 billion, up from $11.6 billion in the prior quarter but raising concerns about slowing expansion. CoreWeave, a debt-reliant AI data center operator, experienced a severe 25% drop last week as credit market investors soured on its debt risk, pushing its credit default swaps to distress levels. Goldman Sachs highlighted the widening credit spreads in AI-linked companies and hyperscalers, noting this could signal slower AI capital expenditure growth and intensifying investor caution.

Adding to market uncertainty, energy infrastructure in the Middle East and Eastern Europe came under renewed attack, raising concerns about potential disruptions extending into 2027. Ukraine’s missile strikes on a Russian oil terminal and tanker attacks near Saudi Arabia contributed to volatility in oil futures, which slipped slightly early Sunday despite these geopolitical risks. Investors are also closely watching upcoming earnings reports from major firms like Meta Platforms and Tesla, hoping the results will help stabilize markets shaken by the recent downturn.

Meanwhile, other regions faced their own challenges as Indonesia’s stock index plunged to a six-year low amid fears of an MSCI downgrade that could trigger significant passive fund outflows. In China, economic growth surprised to the upside with a 4.5% GDP increase in the third quarter, led by strong export demand, though domestic consumption remained weak. Meanwhile, Australia’s Cleanaway Waste Management shares jumped nearly 20% after Swedish firm EQT agreed to acquire the company for approximately $6.5 billion, underscoring ongoing activity in global dealmaking despite broader market jitters.