Dow Futures Rally Pauses As Fed Meeting Looms – Trump’s Tariff Threats Hit Netflix, Disney

Stock futures slipped pre-market on Monday, pulling back after the S&P 500 closed higher for a ninth straight session on Friday — the index’s longest daily winning streak since November 2004.

Nasdaq 100 futures fell by 1%, while S&P 500 futures slipped by 0.8%. Futures on the Dow Jones Industrial Average, which includes fewer tech stocks, were down 0.65%.

Major index-tracking ETFs mirrored the strength in tech. The SPDR S&P 500 ETF Trust (SPY) climbed 1.2%, while the Invesco QQQ Trust (QQQ), which tracks the Nasdaq 100, rose 1.8%, led by strength in technology shares. The SPR Dow Jones Industrial Average ETF (DIA) traded 0.8% higher. 

Tech and media stocks came under pressure after President Donald Trump said Sunday that he would authorize a 100% tariff on films produced overseas. Netflix (NFLX) stock dropped 4.5% in pre-market trade, while Walt Disney (DIS) declined 1.8%, and Comcast (CMCSA) was down 0.7%.

The drop in Netflix’s stock comes after the shares hit a record high of $1,159 on Friday.

Trump also said on Sunday that he has no plans to speak with Chinese President Xi Jinping this week, according to a report by Reuters, dampening hopes for trade de-escalation. The White House continues to push for what Trump called a “fair deal” with China.

Berkshire Hathaway (BRK-B) (BRK-A) shares declined in pre-market trading after Warren Buffett announced he would step down as CEO during Saturday’s annual shareholders meeting. The class B  shares of the company fell about 2%. Vice Chairman Greg Abel, who was named Buffett’s successor in 2021, will take over.

Meanwhile, oil prices dropped by over $2 per barrel late Sunday, slipping below $60 for the first time in over four years. The decline comes ahead of expected OPEC+ output increases. 

Gold prices (XAUUSD) edged above the $3,314 an ounce mark after back-to-back weekly losses, supported by the uncertainty around U.S. trade policy and economic conditions.

Bitcoin (BTC) was trading near $94,300 after falling 1.2% over the past 24 hours. BTC’s price had briefly topped $97,000 last week.

Markets are now focused on the outcome of the Federal Reserve’s two-day policy meeting beginning on Tuesday. The Fed is widely expected to keep rates unchanged. Trump has continued to pressure the central bank and Chair Jerome Powell to ease policy ahead of any potential slowdown caused by trade disruptions.

Investors will also watch for fresh data, including Monday’s manufacturing activity reading and Thursday’s jobless claims report. Earnings reports this week will feature results from Ford (F), Palantir (PLTR), Disney (DIS), and AMD (AMD).

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Read also: Netflix Stock Hits Record High, Extending Longest-Ever Winning Streak And Outpacing Media Rivals