. ..BEquity futures were steady Friday morning as investors reacted to data that raised concerns about a slowdown and anticipated a series of Federal Reserve speakers scheduled for later in the day.
Futures linked to the Dow Jones Industrial Average gained 3 points, trading near the flat line. S&P 500 futures were partially lower and Nasdaq-100 futures were slightly higher.
After Wednesday’s selloff, the Dow fell 764.13 points, or 2.25 per cent, on Thursday, its worst daily performance since September. The S&P 500 and Nasdaq Composite fell 2.49 per cent and 3.23 per cent, respectively.
Stock futures were steady as investors awaite Federal Reserve speakers.
Thursday’s disappointing retail sales report Inflation hits consumers harder than expecte. Investors are concerned that this is slowing consumer spending, a sign that the economy is weakening.
With these latest declines, the market heads into Friday as all indices are poise for a second straight week of losses.
Stocks fell in response Federal Reserve raises interest rates by 50. asis points A target range of 4.25% to 4.5%, the highest rate in 15 years. The central bank said it would raise rates to 5.1 per cent through 2023, higher than previously expected.
„After rallying on hopes that the Fed would be central equity traders are feeling indigested by yesterday’s FOMC statement, which reiterated Jerome Powell’s theme of 'higher for longer’,” said John Lynch, chief investment officer at Comerica Wealth Management.
Investors will be watching pre-bell earnings on Friday from Olive Garden parent Tartan Restaurants, which could provide more insight into consumer spending patterns. They will be looking for notes on future Fed policy from John Williams, Michael Bowman and Mary Daly. Investors are trying to gauge the pace of future rate hikes and the central bank’s view of the economy.
Data will follow in the morning along with the purchasing managers indices for December in services and manufacturing. The indices are seen as measures of business conditions. Manufacturing is expecte to enter at the same pace as in November. While services are expecte to increase by 0.3 points.
