US Stock Futures Flat After Strong AI-Led October Gains Amid Government Shutdown

U.S. stock futures showed little change to modest gains as November began, following strong tech-driven performance in October fueled by enthusiasm around artificial intelligence and positive earnings reports. The S&P 500 and Nasdaq Composite advanced, supported by AI-linked companies like Palantir and AMD, with over 80% of the more than 300 S&P 500 companies reporting third-quarter results beating expectations. Despite this, the Dow Jones Industrial Average faced some pressure due to weaker performances in industrial and healthcare sectors, and concerns about weak market breadth and high tech concentration remain. Investors remain cautiously optimistic amid easing trade tensions between the U.S. and China, ongoing government shutdown disruptions delaying key economic data, and upcoming Federal Reserve policy meetings. Historical data suggests November tends to be a strong month for the S&P 500, which adds to positive sentiment, although uncertainties including the Supreme Court's review of tariffs enacted under President Trump contribute to market watchfulness. Overall, the robust earnings and AI spending visibility, combined with a dovish Federal Reserve stance, continue to underpin market optimism, particularly focused on megacap technology stocks.