(For a Reuters live blog on U.S., UK and European stock
markets, click or type LIVE/ in a news window.)
*
Futures off: Dow 0.05%, S&P 500 0.11%, Nasdaq 0.20%
March 13 (Reuters) - U.S. stock index futures declined
on Thursday as investors closely monitored a stopgap government
funding bill amid escalating slowdown fears driven by President
Donald Trump's chaotic tariff policies.
A funding bill in the U.S. Senate that will keep the
government running through September 30 is now in focus, with
one day to go before a partial shutdown.
The Republican-controlled House passed the bill earlier in
the week. However, Democrats in the Senate called for a
one-month extension of existing spending, buying time to
complete more comprehensive appropriations bills for the year.
"The proposed alternative is an interim funding plan until
11 April: that would simply postpone a key risk for markets,
hence the negative reaction in stock futures," analysts at ING
research said in a note.
Steep losses plagued Wall Street earlier in the week as
Trump triggered a tit-for-tat trade war with allies that could
stoke domestic inflation and trigger an economic slowdown.
Trump's fluctuating policies have rattled investors, with
brokerages downgrading their outlook for U.S. equities and
multiple companies issuing downbeat forecasts.
American Eagle Outfitters ( AEO ) was the latest retailer to
forecast annual revenue below expectations, sending shares of
the apparel maker down 9.9% in premarket trading.
All three main indexes have seen their post-election gains
being wiped out. The benchmark S&P 500 nearly confirmed a
10% correction drop on Tuesday from its record high.
In his latest tariff threat, Trump said he would impose
additional penalties on European Union imports if the EU enacts
retaliatory tariffs on U.S. goods next month.
At 05:44 a.m. ET, Dow E-minis were down 19 points,
or 0.05%, S&P 500 E-minis were down 6.25 points, or
0.11%, and Nasdaq 100 E-minis were down 39.75 points, or
0.20%.
Signs of cooling consumer inflation provided investors with
some reprieve in the previous session. Their focus will now also
be on February Producer Price Index data, which is due to be
released at 8:30 a.m. ET.
The core figure, including some components that feed into
the U.S. Federal Reserve's preferred Personal Consumption
Expenditure index, is expected to have increased 3.5% in
February, compared with a 3.6% rise in the prior month.
A weekly report on jobless claims is also on tap later in
the day.
Investors expect the central bank to leave policy rates
unchanged when it meets next week, according to data compiled by
LSEG.
Among other stocks, Intel ( INTC ) jumped 9.9% after the
troubled chipmaker appointed industry veteran Lip-Bu Tan its
chief executive officer.
Adobe dropped 4.6% after the Photoshop-maker
forecast quarterly revenue in line with estimates, grappling
with slower monetization of its artificial-intelligence
offerings and tough competition from startups.
SentinelOne ( S ) lost 13.6% after the cybersecurity company
forecast its first-quarter and annual revenue below Street
estimates.
Shares of truck- and parts-makers such as Paccar ( PCAR )
and Cummins fell 5.3% and 2.6%, respectively, after the
Environmental Protection Agency launched efforts to undo the
previous administration's vehicle-emissions rules.