Futures tracking the S&P 500 and Nasdaq dropped due to U.S. tariff concerns affecting corporate outlooks and inflation. Semiconductor equipment makers like ASML warned of growth uncertainty due to tariffs, causing stocks like Applied Materials and Lam Research to fall. Earnings from major banks, such as Goldman Sachs and Morgan Stanley, will be closely watched.

In premarket trading, Dow and S&P 500 E-minis were down, with Nasdaq 100 E-minis also falling. A recent inflation report suggested rising prices due to tariffs, affecting Federal Reserve rate cut expectations. Traders predict limited Fed easing by year-end, with uncertainty around potential rate cuts in July and September.

Investors await producer prices data release for signs of cost increases. Trump’s announcement of a 19% tariff on Indonesian goods and EU’s preparations for retaliatory measures amid ongoing trade tensions are key concerns. Despite this, recent market resilience was seen with Nasdaq hitting a record high fueled by Nvidia’s chip sales to China.

Nvidia’s premarket stock eased by 0.8%. Global Payments saw a 6.7% rise following reports of activist hedge fund Elliott Management’s stake in the company. Market updates continue to track trade tensions, tariff impacts, and earnings reports from major banks.

Read more at Yahoo Finance: S&P 500, Nasdaq futures slip on rate, tariff concerns