Stock futures slid ahead of the start of trading in U.S. financial markets on Friday as investors fret about the health of technology companies and the path of interest rates.
S&P 500 futures were down 1.1%, or 71 points, as of 8:30 a.m. EDT, and Dow Jones Industrial Average futures dropped 0.7%, or 316 points. Nasdaq Composite futures declined 1.5%, or 373 points.
On Thursday, the stock market had one of its worst days since a springtime sell-off. The S&P 500 sank 1.7% on the day, falling further from its all-time high set late last month.
Markets have pulled back this week among growing investor doubts that the Federal Reserve will cut its benchmark interest rate at its next meeting on Dec. 17-18. Although the central bank moved to lower rates in September and October, Fed Chair Jerome Powell said last month that another cut isn’t “a foregone conclusion.”
“The near-term Fed conversation continues to shift in a less dovish direction as officials signal hesitancy about cutting rates (even if they do wind up cutting the Funds Rate on 12/10, it’s likely the forward guidance that day is incrementally hawkish),” analyst Adam Crisafulli of Vital Knowledge said in a note to investors.
Investors also appeared skittish over whether tech stocks can retain their momentum after making spectacular gains this year.
Dow Jones, S&P 500, Nasdaq, Stock Market
#Stock #futures #slide #investors #fret #interest #rates