Dow Jones futures steady as Fed tone turns hawkish
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Dow Jones and S&P 500 futures are steady around 46,530 and 6,670, respectively, during European hours on Thursday, ahead of the US cash market open. Meanwhile, Nasdaq 100 futures edge lower by 0.17% to hover near 24,600 at the time of writing. US stock futures moved slightly lower on Thursday, following a sharp sell-off in the previous session as inflation worries weighed on Wall Street. On Wednesday, the Dow Jones Industrial Average fell 1.63% to its lowest level since November, while the S&P 500 and Nasdaq Composite dropped 1.36% and 1.46%, respectively. Market sentiment grew cautious amid a more hawkish shift in the US Federal Reserve’s policy outlook. The Fed kept interest rates unchanged at 3.50%–3.75% at its March meeting. Fed Chair Jerome Powell said inflation is still expected to ease gradually, but the pace of disinflation could be slower than previously anticipated. Powell also warned that rising oil prices linked to the Iran conflict may add near-term upward pressure on inflation. The Fed flagged uncertainty over the economic impact of the Iran war while highlighting elevated upside risks to inflation. Policymakers indicated that rate cuts will likely be delayed until there is clearer evidence of easing price pressures, though projections still suggest one cut this year and another in 2027, consistent with the December outlook. Meanwhile, data released Wednesday showed US producer prices rose more than expected in February, reinforcing persistent inflationary pressures beyond energy. The Producer Price Index (PPI) increased 0.7% MoM, up from 0.5% in January and well above expectations of 0.3%, marking the largest gain in seven months. On a YoY basis, headline PPI rose to 3.4%, while Core PPI accelerated to 3.9% from 3.5% previously. Investors now look ahead to weekly jobless claims for further insight into labor market conditions. Dow Jones FAQs The Dow…
Filed under: News - @ March 19, 2026 9:28 am