U.S. Stock Futures Slip as Markets Await Trump’s Tariff Decision

U.S. stock futures dipped on Friday as investors waited for more details on President Donald Trump's proposed reciprocal tariffs. After a week of strong market performance, traders are now cautious, wondering how these new trade policies might impact the economy and global markets.

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What’s the Deal with Trump’s Tariff Plans?

On Thursday, Trump directed his economic team to come up with a plan for new tariffs on countries that tax U.S. imports. However, he didn’t announce immediate new tariffs, leaving investors uncertain about what’s coming next.

Howard Lutnick, Trump's nominee for Commerce Secretary, said the administration will handle each country separately, studying the impact of the tariffs before making any final decisions. The studies are expected to be completed by April 1.

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Why Are Investors Worried?

Several factors have made this a bumpy week for Wall Street:

• Steel and aluminum tariffs are already in place, causing uncertainty in manufacturing and trade.

• Consumer prices in January rose more than expected, raising concerns about inflation.

• Federal Reserve Chair Jerome Powell’s comments suggested the Fed might not rush to cut interest rates, keeping borrowing costs higher for longer.

Despite this, all three major stock indexes have gained this week, with the S&P 500 now just 0.2% away from its all-time high set three weeks ago.

Tech Stocks Keep Markets Afloat

Big-name tech companies boosted the market in the last session, with strong performances from Nvidia, Apple, and Tesla. The S&P 500 jumped more than 1%, helped by fresh economic data showing that U.S. producer prices rose in January—but without major inflation worries.

Traders are betting that the Federal Reserve will cut interest rates at least once this year, and there’s a 33% chance of an additional rate cut, according to LSEG data.

Stock Market at a Glance: Pre-Market Moves

At 6:53 a.m. ET, stock futures showed mixed signals:

• Dow E-minis fell 138 points (-0.31%)

• S&P 500 E-minis dropped 13.5 points (-0.22%)

• Nasdaq 100 E-minis declined 68 points (-0.31%)

Key Events to Watch Today

Two major things investors are watching today:

1. Retail Sales Data (8:30 a.m. ET) – This will show how much Americans are spending and give clues about the economy’s health.

2. Dallas Federal Reserve President Lorie Logan’s Comments – Her remarks could provide hints about future interest rate decisions.

Biggest Stock Movers Before the Market Opens

Some companies are making big moves in pre-market trading:

• Tesla (+1.3%) – The electric car giant is rebounding after hitting an 11-week low earlier this week.

• Airbnb (+13.3%) – The vacation rental company posted strong revenue, surprising analysts.

• DaVita (-7.9%) – The dialysis provider reported weaker-than-expected profits. Warren Buffett’s Berkshire Hathaway also sold some of its shares in the company.

• Applied Materials (-5.5%) – The chipmaking equipment company gave a disappointing revenue forecast, worrying investors about the semiconductor industry.

• Moderna (-3.8%) – The vaccine maker reported a bigger-than-expected loss, reflecting struggles in the post-pandemic vaccine market.

Even though the market dipped slightly today, analysts remain optimistic. Fourth-quarter earnings growth is now expected to hit 15.2%, up from the 11.6% projection earlier this month, according to LSEG data.

However, with uncertainty around trade policies, inflation concerns, and Federal Reserve decisions, expect more volatility in the coming weeks. Investors will be watching closely for new data and policy announcements that could push the market higher—or send it into another roller-coaster ride.

Also Read: Stock Futures Stuck as Wall Street Waits on Jobs Report & Fed