US Stock Futures Drop as Fears Mount for Economy: Markets Wrap
Wall Street stock futures dropped and Treasuries ticked higher as President Donald Trump's protectionist policies and cuts to the federal workforce dented confidence in US economic outperformance. The S&P 500 declined 1%, following the worst week for the benchmark index since September, while those on the Nasdaq 100 lost 1.1%. The decline in stocks reflects mounting unease over the potential fallout from trade tariffs and sweeping government job cuts.
- As investors increasingly view protectionist policies as a harbinger of economic downturn, policymakers must navigate a delicate balance between promoting competitiveness and avoiding a recession.
- What implications might Trump's "Trump Put" policy shift have on corporate earnings, given the growing chorus of analysts warning of a hit to profit margins from tariffs and fiscal spending cuts?