(For a Reuters live blog on U.S., UK and European stock

markets, click or type LIVE/ in a news window.)

*

Futures: Dow up 0.05%, S&P 500 down 0.2%, Nasdaq down 0.5%

*

Paramount Skydance ( PSKY ) gains on cost-cut, investment plans

*

Japan's SoftBank offloads Nvidia ( NVDA ) shares

*

CoreWeave ( CRWV ) drops after trimming annual revenue forecast

(Updates prices, analyst comment before the bell)

By Twesha Dikshit and Purvi Agarwal

Nov 11 (Reuters) -

The S&P 500 and the Nasdaq were set to open lower on Tuesday

as concerns around elevated technology valuations resurfaced,

while markets closely watched progress toward the end of the

longest government shutdown in U.S. history.

Technology and AI shares rebounded in the previous session

from last week's steep losses, on expectations that the

government would reopen as soon as this week, with the prolonged

closure weighing on the economy and contributing to a data

blackout for the Federal Reserve and traders alike.

The Nasdaq posted its largest daily gain since May

27 and the S&P 500 recorded its biggest one-day

percentage rise since mid October on Monday.

Dampening sentiment on Tuesday, a weekly update of ADP's

preliminary payroll figures showed that private employers shed

an average of 11,250 jobs a week for the four weeks ended

October 25.

"The ADP data misses a significant fraction of the

overall labor market and (does) not provide much of a window

into the health," said Jamie Cox, managing partner for Harris

Financial Group.

"There was such a large relief rally yesterday that

markets are just taking a breather."

At 8:39 a.m. ET, Dow E-minis were up 41 points,

or 0.09%, S&P 500 E-minis were down 14 points, or 0.2%

and Nasdaq 100 E-minis were down 108 points, or 0.42%.

Worries around AI-related companies that have been the main

drivers of the bull market this year persisted as traders

evaluated returns from technology and circular expenditure

within the sector.

Nvidia ( NVDA ) shares dropped 1.8% in premarket trading

after Japanese technology investor SoftBank Group

disclosed that it had offloaded the rest of its shares in the AI

bellwether for $5.83 billion.

Nvidia ( NVDA )-backed CoreWeave's ( CRWV ) shares dropped 8.3% after

the cloud computing firm trimmed its annual revenue forecast.

The company's stock has more than doubled since going public

earlier this year.

As the third quarter earnings season approaches its

conclusion, profit growth at S&P 500 companies is expected to

increase 16.8% year-on-year compared to initial estimates of 8%,

according to LSEG data.

FEDERAL RE-OPENING AWAITED

The U.S. Senate on Monday approved a compromise that would

end the shutdown that has disrupted food benefits for millions,

left federal workers unpaid and snarled air traffic.

The bill will head next to the House of Representatives for

approval before being sent to U.S. President Donald Trump for

his signature, with betting markets like Polymarket fully

pricing in a reopening this week.

"The shutdown will be substantively over by Thursday at the

latest, and you will continue to see follow-through from

Monday's rally once the holiday has concluded," Cox added.

Meanwhile, Trump said the U.S. faced an economic and

national security disaster if the Supreme Court ruled against

his use of an emergency powers law to impose sweeping tariffs.

Among other moves, Rocket Lab ( RKLB ) shares jumped 9.9%

after the space company posted record third-quarter revenue.

Quantum computing firm Rigetti Computing ( RGTI ) reported

third-quarter revenue below estimates, sending its shares

falling 4.3%.

Paramount Skydance ( PSKY ) shares gained 5.3% after the

newly merged media firm announced more cost cuts and plans to

invest $1.5 billion in its streaming and studio divisions.

U.S. bond markets were closed for a public holiday.