Traders work at the New York Stock Exchange (NYSE) on August 26, 2022 in New York City.
Spencer Platt | Getty Images
Stock futures fell on Monday morning as investors sought to avoid a sharp fall in stocks late last week.
Dow Jones Industrial Average futures fell 240 points, or about 0.75%. The S&P 500 and Nasdaq 100 were down 0.92% and 1.3%, respectively.
The moves in futures come after a brutal sell-off on Wall Street on Friday, when brief, sharp remarks by Federal Reserve Chairman Jerome Powell in Jackson Hole, Wyoming, appeared to extinguish hopes that the central bank would change its aggressive rate hikes in the months ahead.
The Dow fell 1,008 points, or a little more than 3%, for its worst day since May. The S&P 500 and Nasdaq Composite fell 3.4% and 3.9%, respectively, in their worst days since June. The drop erased the August gains of the three averages.
“Investors trimmed their recent Risk-On position again, supporting our view that it is too early to call their recent risk appetite a more permanent position, and it is now more likely that it has cost them dearly,” Rick Bensignor of Bensignor Investment. Strategies explained in a note to clients.
Next week brings more speeches from the Fed, including Vice Chairman Lael Brainard on Tuesday, ahead of the August non-farm payrolls report on Friday.