Futures Fall on Costly Tax Bill
Stocks were set to add to their losses for the week on Thursday after U.S. lawmakers passed a bill that investors fear could worsen the U.S. deficit. The 30-year Treasury yield hit its highest since October 2023 as the bill advanced to the Senate.
Futures for the Dow Jones Industrials index tumbled 211 points, or 0.5%, to 41,736
Futures for the S&P 500 index slid 24.5 points, or 0.4%, to 5,836.75.
Futures for the NASDAQ declined 98.25 points, or 0.4%, to 21,058.50.
In a party line vote early Thursday, House members approved the bill that includes lower taxes and additional military spending. The bill — which now goes to the Senate — could increase the U.S. government’s debt by trillions and raise the deficit at a time when fears of a flare-up in inflation due to Trump tariffs are already weighing on bond prices and boosting yields.
The Congressional Budget Office puts the price tag for bill at nearly $4 trillion.
In Japan, the Nikkei 225 index ditched 0.8% Thursday, while in Hong Kong, the Hang Seng 1.2%.
Oil prices sank 93 cents to $60.64 U.S. a barrel.
Gold prices stumbled $1.80 to $3,311.70 U.S. an ounce.
