The broad market exchange-traded fund SPDR S&P 500 ETF Trust ($SPY) faced a decline of 1.1% while the actively traded Invesco QQQ Trust ($QQQ) dropped by 1.4% during Thursday's premarket activity. This drop in performance reflects a notable impact of lingering tariff uncertainties that have deeply dampened investor sentiment. US stock futures also exhibited a downward trend, with S&P 500 Index futures decreasing by 1.1%, Dow Jones Industrial Average futures slipping by 0.9%, and Nasdaq futures retreating 1.4% just before the commencement of regular trading hours. The latest data has revealed that US layoff plans surged to 172,017 jobs in February, marking the highest monthly total since July 2020, which is primarily attributed to significant cuts in the government sector, as reported by the outplacement firm Challenger, Gray & Christmas on Thursday. Additional reports set to be released include the weekly jobless claims report, the January international trade in goods and services report, and the Q4 productivity and costs bulletin scheduled for 8:30 am ET.
Furthermore, the wholesale inventories report for January will be published at 10 am ET, followed by the weekly EIA natural gas report at 10:30 am ET. Philadelphia Federal Reserve President Patrick Harker will be speaking at 8:45 am ET, alongside Fed Governor Christopher Waller at 3:30 pm ET and Atlanta Federal Reserve President Raphael Bostic at 7 pm ET. In premarket activity, bitcoin saw a rise of 0.6%, while the ProShares Bitcoin Strategy ETF ($BITO) observed a 0.4% increase, indicating some resilience in the cryptocurrency market despite the broader trends. Power Play in the Technology Sector: The Technology Select Sector SPDR Fund (XLK) retreated by 1.4%, and the iShares US Technology ETF ($IYW) decreased by 1.5%.
In contrast, the iShares Expanded Tech Sector ETF ($IGM.US) remained inactive. Among semiconductor ETFs, the SPDR S&P Semiconductor ETF ($XSD) fell 1.8%, while the iShares Semiconductor ETF ($SOXX) faced a sharper decline of 3%. In notable stock movements, Allegro MicroSystems ($ALGM) experienced a substantial increase of over 8% in Thursday's premarket activity after the company announced receipt of an unsolicited acquisition offer from ON Semiconductor ($ON).
However, Allegro determined that the proposal was inadequate, leading ON Semiconductor's stock to drop by 4.8% in reaction to the news. Winners and Losers Among Sectors: In the Industrial sector, the Industrial Select Sector SPDR Fund ($XLI) pulled back by 1.1%. The Vanguard Industrials Index Fund ($VIS) alongside the iShares US Industrials ETF (IYJ) was inactive during this trading period.
GMS ($GMS) also saw its stock fall by over 6% before the opening bell, reporting lower fiscal Q3 adjusted earnings along with flat net sales, highlighting some challenges in the industrial landscape. In the Consumer sector, the Consumer Staples Select Sector SPDR Fund ($XLP) declined by 0.4%, and the Vanguard Consumer Staples Fund ($VDC) slipped by 0.1%.
The iShares US Consumer Staples ETF ($IYK) managed to advance slightly by 0.01%, whereas the Consumer Discretionary Select Sector SPDR Fund ($XLY) fell by 1.1%. The VanEck Retail ETF ($RTH) remained inactive, while the SPDR S&P Retail ETF ($XRT) showed a modest increase of 0.1%. A highlight from this sector was JD.com ($JD), with shares rising over 6% pre-bell following the company's impressive posting of higher Q4 adjusted earnings and revenue. In the Energy sector, the iShares US Energy ETF ($IYE) inched up by 0.6%, while the Energy Select Sector SPDR Fund ($XLE) dipped by 0.3%.
Venture Global ($VG) stock dropped more than 5% before Thursday's opening bell, after the company's Q4 earnings and revenue fell short of analysts' expectations. The Health Care sector witnessed the Health Care Select Sector SPDR Fund ($XLV) retreating by 0.6%. The Vanguard Health Care Index Fund ($VHT) remained inactive while the iShares US Healthcare ETF ($IYH) managed to increase by 1.6%.
The iShares Biotechnology ETF ($IBB) was also inactive, indicating a mixed performance in health care stocks. BrightSpring Health Services ($BTSG) showed a premarket rise of more than 5% after the company announced improved Q4 adjusted earnings and revenue, while also lifting its fiscal 2025 sales guidance. In the Financial sector, the Financial Select Sector SPDR Fund (XLF) recorded a decline of 1%.
The Direxion Daily Financial Bull 3X Shares ($FAS.US) fell by 2.6%, whereas its bearish counterpart, the Direxion Daily Financial Bear 3X Shares ($FAZ) increased by 3% amid rising tensions in the financial markets. Additionally, Bread Financial Holdings ($BFH) saw shares drop 1.4% pre-bell Thursday after announcing the pricing of a $400 million offering of 8.375% fixed-rate reset subordinated notes due 2035 at par value. In the Commodities market, front-month US West Texas Intermediate crude oil advanced by 0.8% to reach $66.84 per barrel on the New York Mercantile Exchange, while natural gas prices fell by 0.7% to $4.42 per million British Thermal Units.
The United States Oil Fund (USO) gained 0.4%, while the United States Natural Gas Fund (UNG) saw a slight decline of 0.1%. In the metals market, gold futures for April decreased by 0.6% to $2,908.70 an ounce on the Comex, and silver futures also faced a decline of 0.5% to $32.97 an ounce. The SPDR Gold Shares ($GLD) fell by 0.8%, and the iShares Silver Trust ($SLV) was down 1.2%, indicating a mixed sentiment in precious metals amidst the fluctuating market conditions..