May 9, 2025, U.S. stock futures fall in early trading: The three major indices all fall, market sentiment retreats

On May 9, 2025, futures for the three major U.S. stock indices were down across the board in early trading. At 8:31 AM Taipei time, Dow Jones Industrial Average futures fell 114 points to 41,354, S&P 500 futures dropped 13 points to 5,671.5, and Nasdaq 100 futures fell 42.25 points to 20,105.75. This pullback contrasts with the previous day's gains, indicating profit-taking following a brief period of optimism, as investors wait for more economic data and policy signals.

Overview of Early Performance in US Stock Futures

Driven by favorable news such as the trade agreement between the US and the UK and the Federal Reserve maintaining interest rates, major US stock indices closed higher across the board on May 8. However, entering the early trading on May 9, the futures market experienced a noticeable decline. According to MoneyDJ reports, as of 8:31 AM Taipei time:

Dow Jones Industrial Average futures were at 41,354 points, down 114 points, a decrease of 0.27%;
S&P 500 futures were at 5,671.5 points, down 13 points, a decrease of 0.23%;
Nasdaq 100 futures were at 20,105.75 points, down 42.25 points, a decrease of 0.21%.

This wave of decline occurred after a strong close in the US stock cash market the previous day, indicating that investors might be choosing to wait and see after short-term profits, awaiting more economic data or policy signals.

Review of the Previous Trading Day: US Stocks Closed Higher

On May 8 (Thursday), the US stock cash market performed brilliantly. According to Yahoo Finance and Investopedia reports, all three major indices recorded gains:

The Dow Jones Industrial Average rose about 250 points, an increase of 0.6%;
The S&P 500 index rose about 0.6%;
The Nasdaq Composite index rose about 1%.

This wave of gains was mainly driven by two factors: First, US President Trump announced a "comprehensive" trade agreement with the UK, which the market interpreted as helping to ease global trade pressures; second, there were reports that the US government might relax export restrictions on AI chips, boosting tech stocks to lead the rise.

Tech and Semiconductor Stocks Lead the Rise

In the pre-market session on May 8, tech stocks performed particularly strongly. According to Yahoo Finance reports, Nasdaq 100 futures rose by 1.3% in early trading on May 8, and S&P 500 futures rose by about 0.9%. Semiconductor stocks such as Intel, NVIDIA, and Micron all rose in the pre-market session, reflecting the market's positive response to the relaxation of chip export policies.

Additionally, AppLovin (APP-US) saw its pre-market stock price surge by 13.04% to $343.03 per share due to better-than-expected earnings. The company's first-quarter revenue reached $1.48 billion, a 40% year-over-year increase, and it announced the sale of its mobile gaming division to London's Tripledot Studios to focus on its ad tech business.

Economic Data and Policy Trends

The US Department of Labor released the latest data on May 8, showing that the number of initial jobless claims for the week ending May 3 was 228,000, lower than the market expectation of 231,000, indicating that the labor market remains resilient.

Additionally, the Federal Reserve (FOMC) decided to keep policy rates unchanged at this week's meeting, in line with market expectations. Although Chairman Powell's statement leaned towards a neutral to slightly hawkish tone, the market generally believes there will be no further rate hikes in the short term.

In terms of international trade, the Trump administration announced a trade agreement with the UK, which includes reducing the average tariff on US goods from 5.1% to 1.8%. Trump also stated that tariffs on countries with trade surpluses "will be far above 10%," raising market concerns about tariff policies for other trade partners.

TSMC's American Depositary Receipts (ADR) and Tech Stock Dynamics

TSMC's American Depositary Receipts (ADR) rose by 0.01% on May 8, closing at $174.55 per share. According to Yahoo Finance reports, the Philadelphia Semiconductor Index (SOX) rose by 1.25% that day, closing at 4,441.34 points, indicating strong overall performance in the semiconductor sector.

However, entering the early trading on May 9, the rise in tech stock futures narrowed, and Nasdaq 100 futures turned downward, indicating a short-term adjustment in market sentiment.

International Markets and Other Asset Performance

In other markets, the yield on the 10-year US Treasury rose to 4.295%, reflecting ongoing uncertainty regarding future interest rate policies. The US dollar index rose to 99.780, indicating a return of funds to US dollar assets.

In the oil market, West Texas Intermediate (WTI) crude oil prices rose by 1.79%, reaching $59.91 per barrel. Gold futures fell by 2.31%, to $3,313.50 per ounce, indicating a shift of funds from safe-haven assets to riskier assets.

May 9, 2025, U.S. stock futures fall in early trading: The three major indices all fall, market sentiment retreats

Key Updates

On the eve of US-China trade talks, market volatility: the Dow fell more than 100 points, Affirm's strong earnings report receives a stock upgrade.

On the eve of the US-China trade talks, US stocks opened up on May 9, 2025, with all three major indexes rising.

Five Key Things to Know Before the U.S. Stock Market Opens on May 9, 2025: U.S.-U.K. Trade Agreement, Corporate Earnings Reports, and Other Key Factors

President Donald Trump pushes for a new tax reform bill: expects economic growth and criticizes the Federal Reserve for its slow policy

Palantir rises to the top ten US tech companies: Market value reaches $2,810 billion, driven by government contracts and the US-UK trade agreement.