US stock futures cautiously fall at the start of 2025, influenced by interest rates and Trump policy uncertainty.

From Investing.com: 2025-01-01 19:29:12

U.S. stock index futures rose cautiously in 2025 after a strong 2024. However, gains slowed at the end of the year due to concerns over interest rates and Trump policy uncertainty. Indexes like the Nasdaq and Dow still finished the year up significantly. Trading volume is expected to pick up in the coming week.

Wall Street indexes saw a slowdown in momentum in December, with consecutive losses in the final trading days of 2024. The Nasdaq, S&P 500, and Dow closed lower, but still posted strong gains for the year. Technology stocks benefited the most from an AI-fueled rally.

Focus in 2025 shifts to Trump’s policies and Fed rate cuts as he takes office in January. Investors are cautious due to uncertainty around Trump’s expansionary policies and trade tariffs. The Fed signaled a slower pace of rate cuts in 2025, citing concerns over inflation and a strong labor market.

Investor sentiment was rattled by a vehicle attack in New Orleans and a Tesla Cybertruck explosion outside the Trump Hotel in Las Vegas, adding to the cautious start to the year on Wall Street.



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