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(Updates with analyst quote)

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Futures off: Dow 0.28%, S&P 500 0.26%, Nasdaq 0.37%

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Nike ( NKE ) dips on bleak revenue outlook

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Micron forecasts upbeat quarterly revenue

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S&P 500, Dow set for weekly gains

By Pranav Kashyap, Johann M Cherian

March 21 (Reuters) - U.S. stock index futures edged

lower on Friday as market participants continued to grapple with

the ramifications of tariffs, with FedEx ( FDX ) being the latest

company to lower its full-year forecasts due to economic

uncertainty.

FedEx ( FDX ) fell 7.2% in premarket trading, while peer UPS

slipped 1.5%. Delivery firms are often seen as a

barometer for the global economy given their involvement in a

wide range of industries.

The Dow Jones Transport Index, often regarded as a key

indicator of U.S. economic heath, has fallen nearly 18% from its

all-time peak and was poised to record its longest weekly losing

streak in over a year.

Persistent anxieties that an ongoing global trade war could

upend the economy and squeeze corporate profitability have

spiked market volatility recently and investors have been

cautious about riskier assets.

Markets now await President Donald Trump's plans on

reciprocal and sectoral tariffs that are expected to take effect

in early April.

Commenting on the impact of tariffs, Commerzbank analysts

wrote, "this only serves to create uncertainty among companies,

which are increasingly putting their plans for new jobs and

investment on hold."

At 7:18 a.m. ET, Dow E-minis were down 119 points,

or 0.28%, S&P 500 E-minis were down 15.5 points, or

0.26% and Nasdaq 100 E-minis were down 74.5 points, or

0.37%.

However, on a weekly basis the benchmark S&P 500 index

is set to log a 1.1% gain, rising for the first time in

five weeks. It was also on track to snap its longest weekly

losing streak in over a year.

The blue-chip Dow was set to notch its biggest weekly

rise in over two months, if gains hold.

Earlier in the week, investors took some comfort from Federal

Reserve Chair Jerome Powell's comments who said that the overall

economy was on solid footing. However, he warned that the

decision to leave interest rates unchanged stemmed from a cloudy

outlook on the impact from Trump's policies.

This week also witnessed other central banks including the Bank

of Japan and the Bank of England adopting a cautious tone,

underscoring the unpredictable economic outlook attributed to

escalating trade tensions.

Traders are pricing in approximately 70 basis points of rate

cuts from the Fed this year, with a 70% likelihood of a 25 basis

point cut at the upcoming June meeting, according to data

compiled by LSEG.

Among other movers, Nike ( NKE ) fell 6.5% after the sports

apparel maker projected a sharper decline in fourth-quarter

revenue than analysts had anticipated.

Micron Technology ( MU ) swung between gains and losses and was

last down 3.8%. The chip maker forecast third-quarter revenue

above Street estimates.

Growth stocks, which bore the brunt of the recent market

rout, slipped. Apple ( AAPL ) lost 0.7%, Amazon.com ( AMZN )

dipped 0.2%, while Nvidia ( NVDA ) lost 0.8%. The tech-heavy

Nasdaq is on track to record its longest weekly losing

streak in nearly three years.

Investors will closely monitor insights from policymakers

including New York Fed President John Williams and Chicago Fed

President Austan Goolsbee later in the day.

Friday's session also marks the simultaneous expiry of

quarterly derivatives contracts tied to stocks, index options

and futures, also known as "triple witching".