U.S. stock futures drift lower as Goldman ups Fed rate-hike forecast

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U.S. stock futures drift lower as Goldman ups Fed rate-hike forecast
France Dernières Nouvelles,France Actualités
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U.S. stock futures drifted lower Monday, as worries about Federal Reserve policy reverberated, on the technology sector in particular.

What’s happening On Friday, the Dow Jones Industrial Average DJIA, -0.01% finished nearly unchanged, but the S&P 500 fell 0.4% SPX, -0.41% and the tech-heavy Nasdaq Composite COMP, -0.96% lost 1%. According to FactSet, growth stocks underperformed value stocks last week by the most since election week 2020.

What’s driving markets Analysts were still discussing Friday’s payrolls report, which despite a worse-than-forecast reading on nonfarm payrolls did show a decline in the unemployment rate and a rise in wages. Economists at Goldman Sachs now expect four Federal Reserve rate increases in 2022, instead of their previous call for three, and say a runoff in the balance sheet will commence in July instead of December. “Declining labor market slack has made Fed officials more sensitive to upside inflation risks and less sensitive to downside growth risks,” they said in a note to clients.

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