FX.co ★ US Futures Dip Ahead of Juneteenth Holiday

US stock futures saw a slight decline on Wednesday night, in anticipation of Thursday's market closure for the Juneteenth holiday. During the regular trading session, the Dow Jones Industrial Average and the S&P 500 experienced modest decreases of 0.1% and 0.03%, respectively, whereas the Nasdaq Composite managed a slight increase of 0.13%. These movements followed the Federal Reserve's decision to keep interest rates unchanged. In his statement, Federal Reserve Chair Jerome Powell expressed caution, highlighting the growing geopolitical and economic uncertainties. Powell reiterated the Fed's commitment to a data-driven approach, noting the uncertain inflationary effects of tariffs imposed by President Trump and the potential threat of stagflation. The Fed's latest projections foresee two rate cuts in 2025, accompanied by lowered growth expectations and increased inflation forecasts. Market sentiment was further affected by rising tensions in the Middle East, with concerns over the escalating conflict between Israel and Iran potentially drawing the US into deeper involvement. Of the 11 sectors within the S&P 500, seven ended the day with losses, with the energy sector leading the declines, while the technology sector outperformed.