Stock futures rise slightly after Thursday’s sharp sell-off

Stock futures rise slightly after Thursday’s sharp sell-off

Brendan McDermid | Reuters

U.S. stock futures rose on Thursday night after broad declines in the major tech names pushed the major averages lower during regular trading.

Dow Jones Industrial Average futures climbed 26 points, or 0.1%. S&P 500 futures gained 0.2% and Nasdaq 100 futures advanced 0.3%.

The Dow ended Thursday's cash session down more than 1% along with the S&P 500. The Nasdaq Composite dropped more than 3% as Microsoft and Apple each lost more than 4%. Facebook and Amazon were both down more than 3% and Netflix lost 2.5%.

Big Tech has been the market leader this year as investors grapple with the coronavirus pandemic and its impact on corporate profits. Amazon and Netflix were both up more than 47% year to date. Alphabet and Facebook are up over 13% in that time.

"Concerns of another technology bubble are rising," said Keith Lerner, chief market strategist at Truist/SunTrust Advisory, in a note. "There is also growing concentration risk, with the top five stocks now accounting for 22% of the S&P 500 Index."

To be sure, Lerner noted that "conditions today are largely not comparable to the mania seen during the technology bubble of the late 90s."

"Absolute valuations are elevated but are less than