Market reacts negatively to fears of tariffs and Fed independence concerns, causing US stock futures to drop.

From Yahoo Finance: 2025-04-21 08:03:00

U.S. stock futures are down amid fears that President Trump’s tariff plans could harm the economy. Chicago Fed President Goolsbee warned that tariffs may cause economic activity to drop. Powell expressed concerns over tariff impacts on employment and prices. Trump’s escalating attacks on Powell are causing unease over Fed independence.

Dow futures dropped 1.04%, S&P 500 futures fell 1.31%, and Nasdaq futures shed 1.59%. Last week saw stocks ending in the red for the third time in four weeks. Tesla delays Model Y launch, Nvidia shares drop over Huawei chip shipments, and Capital One’s purchase of Discover gets approval.

Tesla has pushed back the release of its Model Y car, while Nvidia shares decline due to Huawei’s AI chip shipments. Capital One’s $35.3 billion acquisition of Discover Financial Services was approved. Stock futures are lower as trade war and Fed concerns persist, with stocks closing in the red last week.

Read more: US stock futures down. Dow off 400 pts. Investors skittish on tariffs and Fed independence