US stock futures slipped following Trump’s announcement he has removed Fed governor Lisa Cook.
Futures attached to the Dow Jones Industrial Average (YM=F), the benchmark S&P 500 (ES=F) inched 0.1% down. Contracts on the tech-heavy Nasdaq 100 (NQ=F) slid 0.2%.
Trump, in a post on Truth Social late Monday night, has claimed to fire Federal Reserve Governor Lisa Cook. The announcement follows a week of threats against Cook surrounding allegations of mortgage fraud. Markets have reacted with reticence, going into a holding pattern overnight while the dollar dropped.
Stocks fell on Monday, pulling back from last week’s record-setting rally following Federal Reserve Chair Jerome Powell’s speech in Jackson Hole, Wyo. His remarks sent bets for a September rate cut soaring as he stressed the current economic outlook may warrant a shift in monetary policy.
President Trump met with South Korea President Lee Jae Myung on Monday, but no changes were made to a trade deal between the countries that sets a 15% tariff on imports. Details of new investments in the US began to circulate after the meeting, however, with Korean Air announcing the purchase of 103 Boeing (BA) airplanes.
Read more: The latest on Trump’s tariffs
Now, Wall Street is bracing for Nvidia earnings, which land Wednesday after the bell. Expectations for its results are sky-high, with the company’s stock up almost 34% so far this year, even as restrictions on chip sales to China have possibly cost the company billions. Nvidia’s results will also serve as a litmus test for Big Tech since the industry’s eye-popping investments in AI have started to convince investors to look elsewhere.
In other corporate earnings, Dell (DELL), Dick’s Sporting Goods (DKS), Best Buy (BBY), Dollar General (DG), and Abercrombie & Fitch (ANF) will report their results this week.
Finally, the latest release of the Fed’s preferred inflation gauge, the Personal Consumption Expenditures (PCE) index, arrives Friday.
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