Nasdaq futures plunge 260 points: 5 things to know before Wall Street opens

Markets are digesting a clear ai valuation capex catalyst titled "Nasdaq futures plunge 260 points: 5 things to know before Wall Street opens". US stock futures were mixed on Thursday, with technology shares under pressure after Alphabet's results revived concerns about the cost of artificial intelligence. Nasdaq 100 futures fell 260 points, or 0.87% and S&P 500 futures slipped 0.28%, while Dow futures were trading flat.

Questions about AI ROI and overbuild can de-rate crowded semiconductor and megacap multiples even if demand is still growing. AI infrastructure suppliers (related names) and software names priced for perfect utilization are the first places valuation doubts show up. This is a valuation/absorption story, not a model-capability story. The market implication is whether AI capex can keep converting into durable cash flows — crowded leaders usually take the first hit. Concrete utilization or pricing evidence can silence the waste narrative. The risk case is that if funding or ROI doubts spread, the same concentrated names unwind together. What happens next is whether markets validate next hyperscaler capex commentary and supplier order trends.