Traders work on the floor of the New York Stock Exchange during afternoon trading September 13, 2022 in New York City.
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S&P 500 futures were slightly lower on Monday morning after major averages posted their worst week since June and ahead of the Federal Reserve’s two-day meeting this week.
Broad stock index futures were down 0.21% in premarket trading. Dow Jones Industrial Average futures fell 0.14%, while Nasdaq 100 futures fell 0.46%.
Stocks fell on Friday as investors reacted to a hotter-than-expected inflation report and a dismal warning from FedEx of a “significantly worsened” global economy. Dow industrials lost 139 points, while the S&P 500 lost 0.7% and the Nasdaq Composite lost 0.9%.
Investors are focused on the Fed’s two-day meeting, which begins on Tuesday. The central bank is expected to hike interest rates another three-quarters of a point, although investors are also watching corporate earnings forecasts ahead of the start of the next reporting season in October.
“As the S&P 500 hovers below the all-important 3,900 level and the 10-year Treasury yield moves ever closer to 3.5%, the Fed-sensitive 2-year Treasury is flirting with 3 .9%, suggesting that the Fed’s aggressive campaign to kill inflation should be taken seriously,” said Quincy Krosby, chief global strategist for LPL Financial. not be dead yet, but he’s probably having trouble breathing.”
Beyond the Fed meeting, there are only a few economic data releases this week, including August Housing Starts on Tuesday and First Jobless Claims on Thursday.
There are also a handful of corporate profits on deck, including Costco, Darden Restaurants, General Mills and Lennar.
—CNBC’s Patti Domm contributed reporting.