Traders are busy on the New York Stock Exchange (NYSE) floor on January 28, 2026, in New York, USA.
On Tuesday night, futures for the S&P 500 were largely stable after a downturn in tech stocks affected the broader index.
S&P 500 futures remained mostly unchanged, and while Nasdaq 100 futures saw a slight decline of less than 0.1%, futures tied to the Dow Jones Industrial Average gained 33 points, which again was less than 0.1%.
In after-hours trading, shares of Chipotle fell nearly 6% after the restaurant chain revealed it had experienced a drop in customer traffic for the fourth consecutive quarter, and it predicted stagnant same-store sales growth for 2026. Meanwhile, Advanced Micro Devices saw an 8% decrease after its first-quarter forecasts did not meet some analysts’ expectations.
Investors appeared to shift away from riskier growth stocks, with the S&P 500 declining roughly 0.8%, particularly impacted by tech stocks. The Nasdaq Composite dropped by about 1.4%, and the Dow ended the day down nearly 167 points, or 0.3%, despite reaching a new high earlier in the day.
During the session, companies like Nvidia and Microsoft each saw their stocks fall over 2%. Other key players in artificial intelligence, such as Broadcom, Oracle, and Micron Technology, also ended in the red. Additionally, various software stocks suffered, with ServiceNow and Salesforce plummeting nearly 7%. It’s evident that the tech sector was the laggard in the S&P 500, showing a decline of more than 2% overall.
Stocks in private credit, including Blue Owl and TPG, faced declines amid worries that artificial intelligence could disrupt the software market.
Joe Tanias, chief investment strategist for North America at Northern Trust Asset Management, commented on the market’s recent decline during an interview on CNBC’s “Power Lunch.” He noted, “There are lots of competing factors at play right now,” but maintained that the underlying fundamentals are still solid.
Tanias added, “The market is beginning to refine its focus on which companies are most appealing. Also, after three years of significant gains with double-digit returns, valuations are becoming a bit stretched. It doesn’t take long for market sentiment to shift, and we’re seeing hints of that now.”
This week is packed with earnings reports, as Alphabet is expected to announce results on Wednesday and Amazon on Thursday.
