U.S. stock index futures edged lower as market participants digested a week marked by heightened volatility and mounting economic challenges.
As of 04:30 P.M. (GMT+7), Dow Jones futures decreased by 298.90 points, or 0.65%, to 45,653.30 points, while S&P 500 futures fell by 63.50 points, down 0.96%, to 6,565.60 points. Nasdaq 100 futures also decreased by 291.20 points, or 1.18% to 24,366.00 points.
Thursday’s session saw renewed market anxiety following disclosures from several regional banks about deteriorating loan performance, exacerbating investor fears. The unease follows earlier comments from JPMorgan CEO Jamie Dimon, who likened financial risks to the spread of “cockroaches.” In response, investors shifted assets to perceived safe havens such as U.S. Treasuries and gold.
While concerns over bank credit quality continue to weigh on sentiment, a host of additional factors are contributing to the current risk-off environment.
Tensions between Washington and Beijing intensified as China unveiled new export restrictions and sanctions, escalating a lingering trade dispute. President Trump has threatened to introduce additional tariffs, fueling further uncertainty. However, according to Bloomberg, the White House may be poised to relax tariffs on vehicles, with an official announcement potentially coming as soon as Friday.
Meanwhile, the U.S. government shutdown—now stretching further—remains unresolved. The Senate on Thursday was unable to advance a Republican-backed funding measure for the tenth time, prolonging the deadlock and prompting concerns among lawmakers that the impasse could persist into November and beyond.
The prolonged shutdown has suspended the release of most key economic data, with the Consumer Price Index (CPI) report scheduled for release next week being a notable exception. Federal employees continue to go unpaid, as President Trump warns he may block back pay and legal battles unfold over his attempts to reduce the government workforce.
Despite the challenging landscape, the corporate earnings season continues. Investors are now awaiting results from American Express, which are expected ahead of Friday’s opening bell.
