Pre-Market | US Stock Futures Mixed as Fed Rate Cut Hopes Rise Broadcom AI Deal Boosts Semiconductor Sector

5 Sep., U.S. stock market futures showed mixed movements with Dow futures down 0.23%, Nasdaq futures up 0.50%, and S&P futures up 0.12% in pre-market trading. The U.S. labor market cooling trend was confirmed with ADP jobs rising only 54,000 in August and jobless claims higher than expected. This data strengthens Federal Reserve rate cut expectations to 97.4% probability in September, as markets await the critical nonfarm payrolls report tonight for policy clarity.

Broadcom shares surged over 13% in pre-market trading, driven by the announcement of a $10 billion AI deal and optimistic revenue forecasts. This significant boost in Broadcom's stock price also lifted sentiment in the semiconductor sector, with ASML Holding rising nearly 3% in pre-market trading. Meanwhile, Coca-Cola FEMSA's stock dropped over 4% in pre-market trading following a downgrade from strong-buy to hold by Zacks Research. Advanced Micro Devices' stock also declined, falling over 2% in pre-market trading as analysts warned of slowing AI orders.

In pre-market trading, iSpecimen surged over 53%, following the announcement of securing $1.75 million in funding through a securities purchase agreement. Hour Loop rose nearly 49% after electing new board members and ratifying an auditor. Quanex dropped over 23% as adjusted EPS missed estimates and full-year revenue guidance was reduced. Lululemon Athletica fell nearly 19% due to weak US demand and tariff cost increases, which led to lowered financial guidance.

The U.S. Bureau of Labor Statistics experienced technical problems prior to the nonfarm payroll report release. Treasury traders are focused on the nonfarm employment data to gauge Federal Reserve interest rate cut expectations, with recent weak job market indicators like ADP figures heightening dovish sentiment. Nvidia's venture capital unit invested in quantum computing firm Quantinuum as part of a $600 million funding round, amid broader developments in AI hardware and quantum technology. Tesla proposed a new compensation package for CEO Elon Musk, signaling governance changes at the automaker.