Stock market futures were slightly lower early Thursday morning after the Dow went through a five-day winning streak and the recent rally ebbed.
Futures contracts linked to the Dow Jones Industrial Average were 69 points lower. S&P 500 futures fell 0.29%, while Nasdaq 100 futures fell 0.4%.
During regular trading, the Dow fell about 172 points, or 0.5%. The S&P 500 fell 0.7% for the first negative session in four. The Nasdaq Composite underperformed relatively, declining 1.25%. The tech-heavy index and the S&P 500 are now both on track to hit a four-week winning streak.
The minutes of the latest Federal Reserve meeting prompted Wednesday’s market action. The central bank remains committed to fighting inflation, but said it could adjust the pace of tightening based on market conditions.
Investors hoped the Fed could slow the pace of its rate hikes after its July consumer price index reading showed inflation had cooled slightly. But not everyone is convinced.
“We’re in the camp that the Fed isn’t going to spin,” Scott Wren, senior global market strategist for Wells Fargo Investment Institute, said on CNBC’s “Closing Bell.”
“The minutes haven’t changed our mind at all. We think a 75 basis point increase is likely in September, and we’ll see more gains at the end of the year… we think the market is a little elevated here he added.
The latest earnings report did not help traders’ sentiment during the session. Target’s quarter missed estimates, with Lowe’s results mixed.
More retail earnings are on deck for Thursday, with Kohl’s, Tapestry, Estee Lauder and Ross Stores all set to report. Applied Materials will also post its quarterly update.
Some key economic data will also be released Thursday, including weekly unemployment claims and existing home sales.