The stock market opened slightly lower Monday after a record-breaking run last week. Investors are hitting pause as they await clarity on President Donald Trump’s proposed changes to skilled worker visas—a shift that could drive up costs for tech giants and financial firms alike.
Markets edge lower after Friday’s rally
After three straight days of gains capped off by Friday’s tech-driven rally, all three major indexes are in the red this morning:
- Dow futures: -151 points (-0.32%)
- S&P 500 futures: -19.5 points (-0.29%)
- Nasdaq 100 futures: -82.5 points (-0.33%)
Despite the dip, all three indexes remain in positive territory for September—a rare feat in a historically weak month for U.S. equities.
Visa policy shift adds pressure to tech and finance
Investor focus has shifted to the Trump administration’s proposed $100,000 annual fee for H-1B visas, which many companies use to hire highly skilled foreign workers. The policy, announced late Friday, caught the market off guard.
Key developments:
- Microsoft and Amazon: Flat in premarket trading, but heavily reliant on H-1B workers
- J.P. Morgan Chase: Down 1.5% after advising visa-holding staff to stay in the U.S.
- UBS Analysts warn** the policy could increase costs for tech, consulting, and finance firms—and some of that burden may fall on clients
AI and interest rate optimism still driving broader sentiment
Last week’s momentum was fueled by:
- The Fed’s rate cut, with more expected this year
- Renewed enthusiasm for AI-related stocks
- Small-cap strength: The Russell 2000 hit a record high on Friday before slipping 0.1% in premarket trading
While the visa news has created short-term uncertainty, broader tailwinds from monetary policy and AI-driven gains continue to support market sentiment.
What investors are watching this week
A packed week of economic data and Fed speeches could set the tone for markets:
- Personal Consumption Expenditures (PCE): The Fed’s preferred inflation measure
- Q3 GDP data: Key insights into the U.S. economic trajectory
- Fed speakers: John Williams, Alberto Musalem, and new Fed Governor Stephen Miran are scheduled to speak Monday
Expectations for future rate cuts remain high—and any hawkish surprises could rattle markets already sensitive to policy changes.
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