S and P 500 futures fall after index’s first winning session in Three

S&P 500 futures fell early Thursday after the index had a winning session in what has been a volatile week. Futures related to the broad market index down 0.66%, while those connected to the Dow Jones Industrial Average fell 187 points, or 0.45%. Nasdaq 100 futures fell 0.95%.

Intel’s stock rose almost 10% during extended trading after the firm announced the appointment of Lip-Bu Tan as CEO. Adobe fell almost 4% after expecting lower-than-expected earnings for the fiscal second quarter. In Wednesday’s normal trading, battered tech firms received a boost as buyers bought up shares, driving the Nasdaq Composite to a 1.2% rise and propelling the S&P 500 to a 0.5% gain. The technology sector was the best performer of the session, rising about 1.6% as Nvidia and Palantir Technologies rose. The Dow, which has 30 stocks, was an exception, declining 0.2% for the third straight day.

The consumer price index for February, a broad indicator of expenses throughout the United States economy, was lower than predicted. Headline inflation increased by 0.2% from the previous month and 2.8% on an annual basis. The results may have alleviated traders’ anxieties about the economy’s future and the impact of tariffs on inflation. Indeed, President Donald Trump’s steel and aluminum tariffs took effect on Wednesday, and Canada imposed a 25% retaliatory duty on more than $20 billion in US exports.

Though market gurus have been looking for a technical comeback following the previous selloff, some believe the current inflation data will not be enough to spark a significant rebound. Concerns over Trump’s trade policy continue to weigh heavily on market confidence, raising questions about how the Federal Reserve will move with interest rates. “We still believe the next Fed rate move will be lower, but it is difficult to be confident given the uncertainty surrounding tariffs,” said Scott Helfstein, Global X’s head of investment strategy. “The important question is whether tariffs will have a bigger effect on growth or pricing. In recent weeks, the rates market has indicated that slower growth is the greater concern, with three cuts already priced for this year.”

Week to date, all three main averages are on track for severe drops. The S&P 500 and Nasdaq are expected to fall by approximately 3%. The Dow is down 3.4% over the time, set for its worst week since March 2023. On Tuesday, the broad market index briefly entered correction territory, falling 10% from a February record. Thursday brings two major economic reports: weekly unemployment claims and the February producer price index. In the earnings front, Dollar General and Ulta Beauty are scheduled to report Thursday.