Traders work on the floor of the New York Stock Exchange during midday trading on September 13, 2022 in New York City.
Michael M. Santiago | Getty Images News | Getty Images
S&P 500 futures were little changed Sunday night after the major averages booked their worst week since June and ahead of the Federal Reserve’s two-day meeting this week.
Futures linked to the broad market index were flat in premarket trading. Dow Jones Industrial Average futures were up 0.1%, while Nasdaq 100 futures fell 0.1%.
Shares fell on Friday as investors reacted to a higher-than-expected inflation report and a dismal warning from FedEx about a “significantly deteriorated” global economy. The Dow index fell 139 points, the S&P 500 lost 0.7% and the Nasdaq Composite lost 0.9%.
Investors are focused on the Fed’s two-day meeting, which begins Tuesday. The central bank is expected to raise interest rates by another three-quarters of a point, although investors are also waiting for advice on corporate earnings before the next reporting season starts in October.
As the S&P 500 floats below the all-important level of 3,900 and 10-year Treasury yields move closer to 3.5%, the Fed-sensitive 2-year Treasury bill is flirting with 3.9%, suggesting the aggressive The Fed’s campaign to curb inflation should be taken seriously,” said Quincy Krosby, chief global strategist for LPL Financial. “The canary in the coal mine may not be dead yet, but it’s probably struggling to breathe.”
Following the Fed meeting this week, there is only a few economic data left, including the August housing start on Tuesday and the first unemployment claims on Thursday.
There are also a handful of corporate profits on deck, including Costco, Darden Restaurants, General Mills, and Lennar.
— CNBC’s Patti Domm contributed to reporting.