Nasdaq 100 and S&P500: Tech Stocks Drag Indices Lower in Premarket Trade

Dow Cools After Record Run as Traders Book Profits

Stock index futures pulled back in Thursday’s premarket session, snapping a four-day rally as traders digested the Dow’s record-setting move and rotated away from recent winners.

After closing above 48,000 for the first time on Wednesday, Dow futures dipped 132 points, or 0.3%. S&P 500 and Nasdaq-100 futures each slipped 0.3% and 0.4%, respectively.

The pause comes as some traders lock in gains following a sharp rebound off the April lows. The market has broadened out — with buyers stepping into sectors like healthcare and industrials — but this morning’s action shows there’s still plenty of selectivity.

Disney dropped over 4% in the premarket on mixed results, while Cisco rallied more than 6% on strong earnings and an upbeat forecast.

What’s Driving This Market Pause?

Part of this morning’s weakness looks like straight-up profit-taking. The Dow’s breakout and four straight green closes for the S&P gave some traders a reason to hit the sell button. On top of that, the Nasdaq remains under pressure as high-growth names lag.

Premarket movers show the market is rewarding fundamentals but punishing misses. Cisco led gainers after topping earnings and revenue estimates and raising guidance across the board — a sign that enterprise spending hasn’t fallen off a cliff.

Meanwhile, Firefly Aerospace surged over 20% after a narrower-than-expected loss and a bullish 2025 revenue outlook. Webtoon Entertainment tumbled nearly 27% on a revenue miss.

Will the Return of Government Data Steady the Market?

The six-week U.S. government shutdown officially ended late Wednesday after President Trump signed a funding bill into law. That clears the way for federal agencies to resume operations — and possibly start catching up on delayed economic reports.

But the market may not get the full picture. Some key data, like the October jobs report and inflation numbers, may never see the light of day. White House officials warned that fourth-quarter GDP could take a hit, though most economists see only limited impact.

Bottom line: without hard data, traders are still flying blind. And that’s feeding into the cautious tone.

Earnings Season Still Delivering Surprises

Thursday’s premarket tape was busy. Dillard’s jumped more than 8% after a clean revenue beat and 3% lift in same-store sales. TKO Group rose 2.8% on news of its partnership with Polymarket to launch real-time prediction markets during UFC and Zuffa Boxing events. Firefly’s blowout quarter drew buyers as well.

Not every name caught a bid. Ibotta sank over 20% after weak Q4 guidance despite topping last quarter’s numbers. Flutter Entertainment dipped more than 3% after trimming its outlook. Nike rose 2.9% after Wells Fargo upgraded the stock, calling a possible bottom in its profit outlook.

What’s the Bottom Line for Traders?

Markets are cooling — not cracking. The Dow’s record high sparked some rotation and profit-taking, especially as traders sort through mixed earnings and await a full return of economic data.

Premarket action shows this market still rewards upside surprises and forward-looking guidance, but there’s little patience for underperformance. Until the inflation and jobs data come back online, positioning will remain cautious. Traders are watching small caps, value plays, and rate-sensitive names for signs of leadership into year-end.

More Information in our Economic Calendar.