Pre-Market Analysis: US Equities Face Tech Sell-Off, Key Earnings Ahead

US equity futures are pointing to a significantly lower open as of 8:30 AM EST on November 4, 2025, with technology sector concerns and Wall Street valuation warnings driving broad-based selling pressure. The futures market shows steep declines across all major indices, with Nasdaq 100 futures leading the downturn at -1.35% to 25,750.75, followed by Russell 2000 futures at -1.52% to 2,441.90 [1]. S&P 500 futures are down 1.05% to 6,810.75, while Dow Jones futures show a more modest decline of 0.80% to 47,095.00 [1]. This pre-market weakness extends yesterday’s bearish session, where the S&P 500 closed down 0.44% at 6,851.97, Nasdaq fell 0.49% to 23,834.72, and the Dow declined 0.76% to 47,336.69 [0].

The primary catalyst for the pre-market sell-off appears to be mounting concerns about technology sector valuations. Major Wall Street banks have issued warnings about potential market pullbacks, specifically questioning the lofty valuations in the technology sector [2]. This has triggered significant rotation out of tech-heavy positions, with the Nasdaq showing the steepest pre-market declines. The Technology and Communication Services sectors are exhibiting notable weakness, while Consumer Defensive stocks are providing some relative strength [0].

Individual stock movements reflect the market’s heightened sensitivity to earnings quality and forward guidance:

: Despite reporting exceptional Q3 2025 results with revenue surging 63% to $1.18 billion and raising full-year guidance to $4.4 billion, shares are sliding approximately 6.8% in pre-market trading [2][5]. The company also announced its first joint venture in UAE to drive AI transformation [1]. The disconnect between strong fundamentals and negative price action illustrates broader market skepticism about AI valuations.

: The restaurant chain’s shares are experiencing significant pressure after cutting its full-year comparable sales outlook, reducing domestic same-store sales guidance to approximately 1% from previous low-to-mid-single digit expectations [1][6]. Management cited near-term consumer pullback, particularly affecting lower-middle-income and Hispanic consumers, signaling potential consumer spending weakness.

Today features a heavy earnings slate that could significantly influence market direction [2][3]. Key pre-market reports include:

• Shopify (SHOP)
  : Expected EPS of $0.34, with the stock having surged 63% in 2025 [3]
• Uber (UBER)
  : Expected EPS of $0.87
• Pfizer (PFE)
  : Expected EPS of $0.64
• Yum Brands (YUM)
  : Expected EPS of $1.48
• Marriott International (MAR)
  : Also reporting before market open

The market’s reaction to these earnings, particularly guidance components, will be crucial given the current valuation concerns.

Several stocks are experiencing unusual pre-market activity with dramatic price movements [7]:

• Denny’s (DENN)
  : +50.0% to $6.17 following earnings report
• New Fortress Energy (NFE)
  : +40.0% to $1.65
• Tactile Systems Technology (TCMD)
  : +24.3% to $19.60 with analyst upgrade and high volume
• Prelude Therapeutics (PRLD)
  : -38.2% to $2.46 with trading halted and 137x normal volume
• Sarepta Therapeutics (SRPT)
  : -35.3% to $15.82 with high volume
• JELD-WEN Holding (JELD)
  : -35.2% to $2.72 following earnings

Prelude Therapeutics is experiencing particularly extreme volume at 137 times its daily average with trading temporarily halted [7], indicating significant news-driven volatility.

Key economic indicators scheduled for today include [4]:

• PMI Manufacturing Final (9:45 AM ET)
• ISM Manufacturing Index (10:00 AM ET)
• Construction Spending data

These releases will provide important context for the market’s economic outlook and could influence intraday trading patterns.

Key technical levels to monitor include [2]:

• S&P 500: Support at 6,820 (yesterday’s low), resistance at 6,880
• Nasdaq: Critical support at 23,750 area, with 24,000 as psychological resistance
• VIX near two-week highs, indicating elevated fear levels

Major risk factors include:

• Continued tech sector rotation and valuation concerns
• Consumer spending weakness as indicated by Wingstop’s guidance
• Potential for earnings misses given elevated expectations
• Geopolitical developments and their impact on market sentiment

Advanced Micro Devices (AMD) is scheduled to report after market close, potentially influencing tomorrow’s pre-market sentiment, particularly for the semiconductor sector.

The pre-market environment for November 4, 2025, reflects a cautious start to the trading day with investors likely to focus on earnings quality and forward guidance rather than just beating quarterly estimates, particularly in the technology sector. The market is navigating a complex mix of corporate earnings, economic data releases, and heightened caution from major financial institutions. The divergence between strong fundamental performance (as seen with Palantir) and negative market reaction suggests that valuation concerns and broader market sentiment are currently outweighing individual company metrics in driving price action. The heavy earnings calendar today, combined with key economic data releases, suggests potential for continued volatility throughout the trading session.