Futures Wither as Fed Hints at More Rate Hikes - InvestingChannel

Futures Wither as Fed Hints at More Rate Hikes

Stock futures fell Thursday after the Federal Reserve delivered another interest rate hike and signaled that no pivot or rate cut is coming anytime soon.

Futures for the Dow Jones Industrials faded 175 points, or 0.5%, to 32,003.

Futures for the S&P 500 let go of 29.75 points, or 0.8%, to 3,739.

Futures for the NASDAQ Composite slid 107 points, or 1%, to 10,837.50.

Corporate earnings season continued, with Qualcomm, Roku and Fortinet all falling sharply in the premarket on disappointing quarterly results and forward guidance.

Peloton’s stock tumbled after reporting a wider-than-expected loss, while Moderna sank on a lowered COVID vaccine sales outlook.

Traders had anticipated the central bank’s 0.75-percentage-point rate increase and initially read the Fed’s statement as dovish, sending stocks higher on Wednesday after the decision was delivered. Those gains then reversed when Fed Chair Jerome Powell said it was “premature” to talk about a rate hike pause and that the terminal rate would likely be higher than previously stated.

In Japan, in Hong Kong, the Hang Seng Index lost 3.1% Thursday, while markets in Japan were closed for holiday.

Oil prices docked $1.10 to $88.90 U.S. a barrel.

Gold prices dropped $27.10 to $1,622.90 U.S. an ounce.

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