Traders work on the trading floor of the New York Stock Exchange (NYSE) in New York, on August 8, 2022.
Andrew Kelly | Reuters
U.S. stock futures fell Thursday night as Wall Street headed for a losing week and traders absorbed an ugly earnings warning from FedEx.
Dow Jones Industrial Average futures fell 1[ads1]60 points, or 0.51%. S&P 500 and Nasdaq 100 futures fell 0.64% and 0.75%, respectively.
FedEx shares plunged 15% in extended trading after the shipping company withdrew its full-year guidance, saying it will implement cost-cutting measures to address soft global shipping volumes as “macroeconomic trends worsened significantly.”
The big three averages were on pace to record their fourth losing week in five. The Dow Jones Industrial Average fell 3.70% this week, while the S&P 500 is 4.08% lower. The Nasdaq Composite is down 4.62%, heading for its worst weekly loss since June.
During the regular session Thursday, the Dow fell 173 points, or 0.56%, for its lowest close since July 14. The Nasdaq Composite fell 1.43%, while the S&P 500 fell 1.13%.
Traders are concerned that markets will retest the June lows after a surprisingly warm reading in August’s consumer price index report indicated an increasingly difficult path to bringing down inflation from the Federal Reserve.
“They may have a tough choice to make,” iCapital’s Anastasia Amoroso said Thursday on CNBC’s “Closing Bell: Overtime.”
“Before they said, let’s try to have a soft landing and bring down inflation. Now they may have to make a choice. It’s either a soft landing or bring down inflation. In other words, they may have to engineer more of a cut on economic growth to bring down inflation,” she added.
On the economic front, traders expect the latest consumer sentiment data at 10 a.m. ET Friday.