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Shares of Apple Inc, Amazon.com Inc, Microsoft Corp, Alphabet
Inc, Facebook Inc and Netflix Inc were down between 0.6% and
0.9% before the bell.
The S&P 500 and the Nasdaq were knocked off their all-time highs
last week after a sharp rise in U.S. Treasury yields triggered
profit taking in some of the mega-cap technology stocks.
"Higher yields and steeper curves tend to be good for financials
but less so for tech," said Karen Ward, chief market strategist
EMEA at J.P. Morgan Asset Management.
"These sectoral shifts will also likely dictate other rotations
such as from growth towards value."
The Dow is poised for its best month since November 2020 as
investors bought into cyclical companies set to benefit from an
economic reopening, while the Nasdaq remains on track to wipe
out nearly all of its gains for the month.
At 06:50 a.m. ET, Dow E-minis were down 183 points, or 0.58%,
S&P 500 E-minis were down 16.75 points, or 0.44%, and Nasdaq 100
E-minis were down 96.5 points, or 0.75%.
Data on U.S. personal consumption, which includes one of the
Federal Reserve's favored inflation measures, is expected to
show core inflation dipped to 1.4% in January, which could help
calm market worries.
Stimulus will be back in focus as the Democratic-controlled U.S.
House of Representatives aims to pass President Joe Biden's $1.9
trillion coronavirus aid bill on Friday in what would be the
first major legislative victory of his presidency.
GameStop Corp jumped 10% premarket as retail investors pushed up
the stock in a renewed rally that could see it clock its second
best week.
Salesforce.com Inc slipped about 3% as the online software
company forecast full-year profit below market expectations.
(Reporting by Devik Jain and Medha Singh in Bengaluru; Editing
by Saumyadeb Chakrabarty)
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