* Futures down: Dow 0.37%, S&P 500 0.4%, Nasdaq 0.66%

* May consumer prices data largely in line with estimates

* Super Micro Computer ( SMCI ) dips after plan to raise $7 billion

* Nike ( NKE ) falls after RBC downgrades stock

(Updates to pre-open prices)

By Joel Jose and Twesha Dikshit

June 10 (Reuters) - U.S. stocks were set to open lower on

Wednesday, as a selloff in technology stocks continued and

renewed tensions between the United States and Iran overshadowed

a tame inflation reading.

Volatility has picked up across stock markets in recent

days, as investors contend with a widening array of risks,

including high valuations in the tech sector, escalating

tensions in the Middle East and expectations that the Federal

Reserve may need to hike interest rates to curb inflation.

U.S. consumer prices increased 4.2% in the 12 months through

May, the largest gain since April 2023, data showed, as the

Middle East conflict raised the price of gasoline and other

energy products.

The pace of increase was, however, in line with forecasts,

as per a Reuters poll of economists. This helped lift U.S. stock

futures from session lows.

"While it is very much in-line with expectations, it's still

moving in the wrong direction," said Art Hogan, chief market

strategist at B Riley Wealth.

"That hasn't changed the narrative around what the Fed will

do at its next meeting, but the overarching consensus is that

the Fed will hold steady."

The Federal Reserve is widely expected to hold interest

rates in the 3.50%-3.75% range at its next policy meeting on

June 17, as per the CME Group's FedWatch tool. Investors are

pricing in at least one 25 basis point rate hike by the end of

the year.

Technology and AI stocks have borne the brunt of the selloff

as investors priced in a tighter monetary policy and worried

about stretched valuations in the sector.

Nvidia ( NVDA ), Broadcom ( AVGO ) and Micron Technology ( MU )

fell between 1.3% and 2.2% in premarket trading, with

losses rising again after a brief rebound on Monday.

The rotation out of highly subscribed technology shares has

aided other areas of the markets that have lagged this year,

including healthcare, real estate and consumer staples.

By 8:46 a.m. ET, S&P 500 e-minis were down 29.5

points, or 0.4%. Nasdaq 100 e-minis fell 191.25 points,

or 0.66%, and Dow e-minis dropped 188 points, or 0.37%.

U.S. President Donald Trump said Iran had taken too long to

negotiate a deal and would now "have to pay the price," while

Tehran said it would reassess diplomatic engagement with

Washington after overnight tit-for-tat strikes.

Oil prices rose more than 1%, with Brent crude

trading above $92 a barrel.

The much-hyped $1.75 trillion listing of SpaceX on

Friday, targeting a record $75 billion raise, could also

pressure U.S. stocks as concerns mount over excessive optimism

in the tech sector.

Among other movers, Super Micro Computer ( SMCI ) tumbled

11.7% after announcing plans to raise $7 billion through a

series of equity and equity-linked financing transactions to

fund component purchases for its growing AI server demand.

Nike ( NKE ) shares were down 0.9% after RBC downgraded the

stock's rating to "sector perform" from "outperform".

Shares of trucking companies XPO, J.B. Hunt

and Old Dominion fell between 1.1% and 5.9% after

Amazon ( AMZN ) announced expansion of its less-than-truckload

freight services in the U.S.

(Reporting by Joel Jose, Twesha Dikshit and Sruthi Shankar in

Bengaluru; Editing by Shinjini Ganguli)