Tech Stocks Slump Amid Rising Oil Prices

US stock futures are largely unchanged as AI-related stocks continue to plummet and oil prices rise. The S&P 500 futures were relatively flat, while those for the Dow Jones Industrial Average rose 0.1%. Nasdaq futures declined by a similar margin. Shares of Oracle, Marvell Technology, Intel, Micron Technology, and Target all dropped significantly, with some losing over 2% in value.

The decline in AI-related stocks can be attributed to the waning confidence in the sector's growth prospects. Despite the recent surge in share prices, investors are now questioning whether these companies will eventually deliver on their promises. The uncertainty has led to a sell-off, with many of these stocks experiencing significant losses.

The rise in oil prices is also contributing to the market volatility. Brent crude and US benchmark crude both rose 1% and 1.1%, respectively, amidst ongoing tensions over the Strait of Hormuz. This has resulted in higher bond yields, which are pushing inflation expectations up and causing anxiety over government debt.

The Federal Reserve's upcoming release of minutes from its latest meeting is also being closely watched by investors. The central bank's decision on interest rates will likely have a significant impact on the market's trajectory.