US equity futures are trading lower ahead of Tuesday's open, signaling a difficult session for Wall Street.
The decline is being driven by renewed selling pressure in the technology sector, with investors reducing exposure to artificial intelligence-related stocks.
Broader market sentiment is also being weighed down by fears that interest rates may remain higher for longer.
The weakness in technology shares is particularly pronounced among semiconductor stocks, which have been at the forefront of the recent market downturn.
This sector-specific pressure is contributing to a broader risk-off mood, as traders reassess valuations in light of persistent inflation concerns and a hawkish policy outlook.
Global equity markets continued their downward trajectory on Monday, with Asian indices tracking losses from Wall Street and European futures signaling further weakness ahead of the open.