US stocks are likely to extend Wednesday's losses on Thursday, with the technology-heavy Nasdaq 100 expected to give back some of Tuesday's record-high gain.
Pre-market indications from IG showed the Nasdaq 100 trading about 1 percent lower at 30,177 points an hour before the open, while the Dow Jones Industrial Average was priced 0.3 percent lower at 51,368.
Equity markets are facing headwinds from a renewed rise in oil prices that triggered another wave of selling in the bond market. Yields on 30-year US Treasuries were pushed to their highest level since 2004, Simon Wiersma of ING Bank said, calling it "a tangible headwind for stocks."
Inflation concerns are also returning to the forefront. A warning from an Iranian representative that the geopolitical situation in the Middle East could further escalate and spread to additional regions has pushed oil prices higher. The US government is also considering a diesel export ban.
Among the Magnificent Seven, all members showed pre-market weakness relative to the previous close, though Apple held up relatively well. Meta declined about 1.7 percent from its one-year high, pulling back after a strong run driven by enthusiasm for its Muse AI agent. Chip stocks broadened their decline on the Nasdaq.
Dropbox fell more than 4 percent after Citigroup analyst Steven Enders recommended a sell, arguing the stock had priced in too much upside from the cloud-storage provider's AI strategy. The shares had reached their highest level since their 2018 IPO earlier this week.
MGM Resorts dropped nearly 10 percent in pre-market trading after People Inc., which had previously taken a minority stake in the hotel and casino operator, withdrew its takeover bid for the remaining shares.
On the brighter side, Everpure rose 4.5 percent. The flash-storage and data-management provider, formerly known as Pure Storage, impressed investors with its mid-term revenue outlook, with its target for 2028 exceeding market expectations, the company said.
