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Stock Market News: Nasdaq Futures Tumbling Amid Global Selloff
Dow Set to Open Down, S&P 500 futures are also falling in premarket trading Monday.
Last Updated:
Aug. 5, 2024 at 5:17 AM EDT
Updated 15 min ago
U.S. Stock Futures Fall as Global Selloff Intensifies. Japan's Nikkei Suffers Worst Drop for 26 Years.
(Getty Images)
Stock futures were set to decline further on Monday, led by technology stocks, after a big retreat on Friday.
Futures for the Dow Jones Industrial Average lost 568 points, or 1.4%. Futures for the S&P 500 dropped 2.3%, while contracts tied to the tech-heavy Nasdaq Composite plunged 3.6%. All three indexes fell substantially on Friday, with the Nasdaq entering a correction by finishing 10% lower than its peak.
Shares are slumping worldwide as traders are worrying that the U.S. economy could suffer a sharp slowdown after worse-than-expected jobs data last week.
The fear is that any interest-rate cuts from the Federal Reserve may come too late to bolster growth. Japan’s Nikkei index suffered its worst one-day drop since 1987 on Monday.
“Markets were on edge before Friday but a weak payrolls has really escalated a profound move across the globe,” said Deutsche Bank strategist Jim Reid. “The overriding message from today is hold on to your hats.”
Bond yields have moved lower as traders reprice how much the Fed will lower borrowing costs. The rate on the benchmark 10-year U.S. Treasury bond slipped to 3.735% from more than 4% last week, while the yield on the 2-year note was at 3.789%.