U.S. stock index futures fell on Tuesday as concerns over lofty equity valuations and diminishing prospects for an interest rate cut weighed on sentiment, though attention remained on Nvidia's earnings and key government data due later this week.

Market Snapshot

At 06:50 a.m. ET, S&P 500 E-minis were down 23.25 points, or 0.35%, Nasdaq 100 E-minis were down 104.25 points, or 0.42%, Dow E-minis were down 241 points, or 0.5%.

Pre-Market Movers

Nvidia fell 1% in premarket trading. Shares dropped 1.9% on Monday following the disclosure that billionaire Peter Thiel's fund sold all its stock in the chip maker. Nvidia, the leading maker of artificial-intelligence chips, has been under pressure heading into its third-quarter earnings report -- scheduled for after the closing bell Wednesday. The company has finished lower in three of the past five trading sessions and has fallen nearly 8% in November. It remains up 39% this year.

Amer Sports, Inc. reported quarterly earnings of $0.33 per share which beat the analyst consensus estimate of $0.25 by 32 percent. Amer Sports shares jumped 7% in premarket.

Akzo Nobel NV AKZO.AS is in talks to merge with paintmaker Axalta Coating , Bloomberg News reported on Monday, citing sources familiar with the matter. Shares of the U.S. firm were up 7% in trading after the bell.

Home Depot fell 2% in the premarket session after third-quarter adjusted earnings missed analysts' estimates and the largest U.S. home-improvement retailer cut its full-year outlook. Comparabke-store sales in the third quarter rose 0.2% but missed forecasts. Home Depot reduced its outlook for comparable-sales growth to be slightly positive, down from a previous forecast of up 1%.

Crypto stocks were struggling ahead of the opening bell. Coinbase Global dropped 0.8%, Robinhood Markets fell 1.3%, and Strategy declined 0.8%. The selloff came as investors continued to ditch Bitcoin, with the world's largest digital asset down 4.5% to $91,316 over the past 24 hours.

Baidu was flat in premarket trading after the Chinese search-engine provider reported better-than-expected adjusted net income in the third quarter of 3.77 billion yuan ( $530 million ) but revenue fell 7% from a year ago to Yen31.17 billion.

Alphabet rose 0.4%. The parent company of Google was the S&P 500's top stock Monday, rising 3.1% after Berkshire Hathaway disclosed it purchased 17.8 million shares of the tech titan during the third quarter.

Dell Technologies Inc. slipped 0.8%. The computer maker declined 8.4% on Monday, ending the session as the worst-performing stock in the S&P 500, following a downgrade to Underweight from Overweight at Morgan Stanley. The analysts said a surge in the price of memory drives -- a component in Dell products such as PCs and servers -- will weigh on the company's margins. Dell stock has fallen 10 of the past 11 days.

U.S.-listed shares of Temu owner PDD Holdings Inc declined 2.5% after third-quarter revenue growth slowed. "In the third quarter, revenues growth continued to moderate, reflecting the ongoing evolution of the competitive landscape and external uncertainties," said Jun Liu, vice president of finance.

Market News

No firm is immune if AI bubble bursts, Google CEO tells BBC

Alphabet GOOGL.O Chief Executive Sundar Pichai said no company would be unscathed if the artificial intelligence boom collapses, as soaring valuations and heavy investment in the sector fuel concerns of a bubble.

Pichai said in an interview with the BBC published on Tuesday that the current wave of AI investment was an "extraordinary moment" but acknowledged "elements of irrationality" in the market, echoing warnings of "irrational exuberance" during the dotcom era.

Senators seek probe of Trump crypto venture over alleged token sales linked to North Korea and Russia

Two U.S. Senators are pressing the Department of Justice and the Treasury to investigate a crypto company closely tied to the family of U.S. President Donald Trump over alleged links to illicit actors in North Korea and Russia.

In a letter on Tuesday, U.S. Senators Elizabeth Warren, D-Mass., and Jack Reed, D-R.I., minority members on the Senate Committee on Banking, Housing, and Urban Affairs, raised concerns that World Liberty Financial, a crypto firm heavily owned and run by the Trump family, may pose national security risks.