Market Signals Mixed as AI Earnings and Fed Outlooks Influence Pre-Open Trading

Stock futures opened lower on Cyber Monday morning, suggesting a cautious start to December trading as investors evaluated recent AI sector earnings and the high probability of a Federal Reserve rate cut. Market participants are closely watching the trajectory of AI companies ahead of the central bank’s December 9–10 meeting, with expectations of an 85–90% chance of a policy easing.

The AI sector, a key driver of growth in the technology space, is preparing for a series of earnings reports. Companies including MongoDB, Salesforce, Snowflake, and C3.ai are set to release financial results throughout the week. These updates will provide fresh insights into the sector’s resilience and performance amid a broader macroeconomic backdrop.

The focus on AI earnings aligns with a growing investor appetite for technology-driven innovation and scalable solutions across enterprise environments. Recent funding rounds for AI firms such as WisdomAI and Gravis Robotics highlight continued momentum in the sector. WisdomAI, for instance, , .

Despite the sector’s high-growth potential, earnings forecasts have varied. MongoDB, for example, , . On the other hand, Snowflake and C3.ai face broader challenges, with both projected to report losses, albeit with improvements for Snowflake and widening deficits for C3.ai.

The economic outlook is further shaped by the anticipated Federal Reserve decision, which remains a focal point for traders and analysts. With market odds for a rate cut reaching 85–90%, investors are adjusting their strategies ahead of the central bank’s key policy meeting. The Fed’s decision could have a significant influence on market liquidity, risk appetite, and the valuation of high-growth technology firms, particularly those in the AI space.

Looking ahead, the AI sector’s ability to deliver on earnings and growth expectations will remain a key barometer for the broader market. As companies report results, the interplay between AI performance and macroeconomic signals will continue to shape investor sentiment and strategic allocations. The convergence of earnings season and the Fed’s policy path underscores the interconnected nature of technology and monetary policy in today’s markets.

The AI sector’s performance also intersects with broader investor behavior, particularly in the context of large institutional holdings. For example, Shelton Capital Management has increased its stake in Salesforce, . This shift reflects the firm’s confidence in Salesforce’s long-term prospects, especially with the company having recently announced a quarterly dividend and positive quarterly results in September.

Meanwhile, C3.ai has shown strong relative performance in recent sessions, outpacing both the S&P 500 and Nasdaq. However, the stock has faced a broader decline over the past month, trailing the Computer and Technology sector. Analysts will be watching the company’s upcoming earnings report closely for signs of stabilization and guidance on forward-looking performance.

As the week progresses, investors will be tracking not only earnings outcomes but also the broader implications of Fed policy and sector momentum. The alignment of AI earnings and interest rate expectations creates a compelling narrative for market watchers, offering both opportunities and risks as the year draws to a close.