Traders Digest Powell's Remarks, Driving Muted Premarket Action for US Equity Futures

BY MT Newswires | ECONOMIC | 09/24/25 08:25 AM EDT

08:25 AM EDT, 09/24/2025 (MT Newswires) -- US equity futures were little changed pre-bell Wednesday as traders turned cautious after Federal Reserve Chair Jerome Powell flagged a "challenging situation" for the central bank.

Dow Jones Industrial Average futures were flat, S&P 500 futures were up 0.2%, and Nasdaq futures were 0.2% higher.

Powell said Tuesday that policymakers face a "challenging situation," with near-term risks to inflation tilted to the upside and those to employment leaning downside.

"If we ease too aggressively, we could leave the inflation job unfinished and need to reverse course later to fully restore 2% inflation," Powell said. "If we maintain restrictive policy too long, the labor market could soften unnecessarily."

Oil prices were higher, with front-month global benchmark North Sea Brent crude up 1.2% at $68.41 per barrel and US West Texas Intermediate crude 1.2% higher at $64.18 per barrel.

The August new home sales bulletin, scheduled for release at 10 am ET, is seen coming in at a 650,000 annual rate versus 652,000 in July, according to estimates compiled by Bloomberg.

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In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.

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