U.S. stock index futures fell further on Sunday evening amid heightened uncertainty over the Federal Reserve’s independence after Chair Jerome Powell said the central bank was being threatened with criminal indictment over his testimony on an ongoing renovation of the central bank’s headquarters.
Powell alleged that the probe was politically motivated, amid continued pressure from the Donald Trump administration that the central bank cut interest rates.
S&P 500 Futures fell 0.4% to 6,974.0 points, while Nasdaq 100 Futures fell 0.7% to 25,766.75 points by 20:20 ET (01:20 GMT). Dow Jones Futures fell 0.4% to 49,525.0 points.
Heightened geopolitical tensions also weighed, after Iran warned it will retaliate against any U.S. attack. Trump on Sunday signaled that the Pentagon was considering its options for Tehran, as the middle eastern country grapples with rapidly escalating anti-government protests.
The fourth quarter earnings season begins in earnest this week, while key consumer inflation data for December is also on tap.
Powell flags DOJ probe over interest rates, not renovation Powell in a Sunday evening statement confirmed that the Fed was threatened with legal action by the DOJ over his June 2025 Senate testimony, but alleged that the threat was not actually tied to his testimony or an ongoing renovation of the Fed’s Washington D.C. headquarters.
