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Stock market news live updates: Stock futures open slightly lower after tech rout

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Stock market news live updates: Stock futures open slightly lower after tech rout

Stock futures traded slightly lower on Tuesday evening after a technology-led selloff earlier in the day, with growth stocks giving back more of their 2020 gains after a key policymaker suggested interest rates might need to rise to prevent an economic overheating.

Contracts on the Nasdaq dipped, after the index fell 1.9% during the regular session for its worst day since March. The S&P 500 also ended the session lower lower, while the Dow shook off earlier losses to trade slightly higher.

The sharp move lower in growth stocks came after Treasury Secretary Janet Yellen suggested Tuesday that interest rates might need to be increased to stave off an overheating in the economy, with economic activity picking back up much faster than expected as vaccinations take place and social distancing standards get eased. Some companies have also said that surging demand and supply chain shortages have pushed prices higher. Mentions of inflation on first-quarter earnings calls have surged by 800% year-over-year, according to Bank of America strategist Savita Subramanian.

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