Equity futures were just below the flatline on Wednesday morning.
Futures linked to the Dow Jones Industrial Average were down 20 points, or 0.06%, while S&P 500 futures were down 0.06% and Nasdaq 100 futures were down 0.07 %.
In regular trading, the Dow Jones fell more than 350 points, or 1.03%. The S&P 500 and the Nasdaq Composite lost 1.4% and 2% respectively.
The moves came as investors lost hope that the Federal Reserve would be able to stage a soft landing. Instead, concerns revolved around the state of the economy and the approach of an economic downturn.
“Investors couldn’t decide what worried them most: a looming recession, as implied by November declines in the ISM, Chicago PMI and Philadelphia Fed, as well as housing data , or the threat of a more hawkish FOMC, such as due to stronger-than-expected jobs data and factory orders,” said Sam Stovall, chief investment strategist at CFRA Research. sold across the board as investors decided to take profits from the last two monthly price gains, the first since August 2021.”
Investors are awaiting more economic data this week to know what to expect from the Fed. On Wednesday, the Mortgage Bankers Association will release its weekly mortgage applications report.
There are also still several companies ready to declare their profits. Campbell Soup and GameStop will release their results on Wednesday.
