Stock indices closed in the red today following cautious commentary from Federal Reserve officials. The Nasdaq 100, S&P 500, and Dow Jones Industrial Average all saw declines of over 1%. Minneapolis Fed President Neel Kashkari emphasized the need for inflation to decrease further before considering rate cuts, while Cleveland Fed President Loretta Mester and Chicago Fed President Austan Goolsbee echoed this sentiment. The Atlanta Federal Reserve also revised its GDP growth estimate lower, citing recent economic data releases. Initial Jobless Claims came in worse than expected, adding to investor concerns. However, U.S. futures edged higher on Thursday morning as investors digested remarks from Fed Chairman Jerome Powell, who emphasized the need for evidence of inflation nearing the 2% target before considering rate cuts. Analysts anticipate rate cuts later this year, with timing dependent on inflation data. Key economic data and corporate earnings reports are awaited, while European and Asian markets reacted positively to Powell’s comments.
