Major United States futures contracts traded lower on Monday night (Tuesday AEDT) following a sharp sell-off during regular trading hours, as investors weighed the growing risk of a U.S. recession.
By 9:20 am AEDT (10:20 pm GMT), Dow futures dipped 0.1%, while S&P 500 and Nasdaq-100 futures fell 0.2% and 0.3%, respectively.
In extended trading, shares of Delta Air Lines plummeted more than 11.1% after the carrier slashed its profit and sales outlook for the current quarter, citing weaker U.S. travel demand.
Airline peers United Airlines, American Airlines, and Southwest Airlines also traded 9.8%, 8.1%, and 4.8% lower, respectively.
Oracle lost 2.7% after reporting third-quarter earnings and revenue below expectations.
Meanwhile, Asana tumbled 28% after providing disappointing guidance and announcing the retirement of its CEO.
Monday’s regular trading session saw broad declines, with the S&P 500 extending its sell-off into a fourth week. The Nasdaq Composite suffered its worst day since September 2022, while the Dow Jones Industrial Average closed below its 200-day moving average for the first time since November 2023.
Concerns about a slowing U.S. economy have intensified following comments from President Donald Trump and top economic officials. Speaking on Fox News on Sunday, Trump said the economy was undergoing “a period of transition” when asked about a potential recession.
Analysts at ANZ noted that confidence in the U.S. growth outlook is faltering, with economic officials blaming tariffs and policy shifts for recent weakness.
“President Trump refused to rule out a recession, and Kevin Hassett, chair of the U.S. National Economic Council, attributed negative Q1 growth expectations to Biden-era policies and the timing of tariffs,” ANZ analysts wrote.
Investors remain on edge as the administration prepares to announce new tariffs in April and May, with further policy uncertainty ahead. Attention is also turning to Congress’ efforts to pass a funding bill this week, as a failure to do so could trigger a partial government shutdown on Friday.
Traders are now looking ahead to crucial economic data releases later in the week including the job openings and labour turnover survey (JOLTs) report, consumer price index and producer price index (PPI) figures.
