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US STOCKS-US stock futures fall on possible pharma tariffs; Ford pulls forecast
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US STOCKS-US stock futures fall on possible pharma tariffs; Ford pulls forecast
May 26, 2025 3:11 AM

(For a Reuters live blog on U.S., UK and European stock

markets, click or type LIVE/ in a news window)

*

Futures down: Dow 0.68%, S&P 500 0.79%, Nasdaq 1.07%

May 6 (Reuters) - U.S. stock index futures were lower on

Tuesday after President Donald Trump's comments on potential

pharma tariffs renewed worries of the impact of a trade war,

while some downbeat corporate results also weighed on investor

sentiment.

Late on Monday, Trump said he plans to announce pharma

tariffs over the next two weeks, his latest on levies that have

rattled global financial markets over the past months.

The news offset optimism stemming from his order that aimed

to reduce the time taken for pharma manufacturing plant

approvals. Drugmakers Eli Lilly and Pfizer ( PFE ) were

flat to slightly lower in premarket trading.

The latest development follows Trump's tariffs on

foreign-made movies that were announced on Sunday. Wall Street

closed lower on Monday, with the benchmark S&P 500 snapping a

nine-session winning streak.

Ford Motor ( F ) was the latest to suspend its annual

outlook on Monday, joining a host of companies that shelved

their forecasts in April. The automaker also flagged a hit of

about $1.5 billion from the levies, sending its shares down 2.6%

in premarket trading.

Tariff-driven uncertainty has led consumers, businesses and

even the U.S. Federal Reserve to embrace a wait-and-watch mode

as they struggle to gauge the impact of the levies and find ways

to navigate them.

The Trump administration suggested last week that potential

deals with trading partners were underway, but markets have seen

no concrete results on that front.

The latest tariffs on the film and pharma industries are

undermining the "likely misplaced" optimism that markets feel

about the U.S. striking trade deals in the near future, said

Marc Ostwald, chief economist, ADM Investor Services

International.

At 05:30 a.m. ET, Dow E-minis were down 279 points,

or 0.68%, S&P 500 E-minis were down 44.75 points, or

0.79%, and Nasdaq 100 E-minis were down 214.25 points,

or 1.07%.

The Fed starts its 2-day meeting on Tuesday, with the

central bank widely expected to stay put on interest rates.

Comments from policymakers will be scrutinized for any clues

that suggest their stance on monetary policy easing this year.

"We see little market-moving information emerging ... with a

steady-as-she-goes payroll print for April, stable inflation

numbers and prospects of engaging in trade deals, this should

keep the Fed in wait-and-see mode for now," BNP Paribas analysts

said.

Traders see about 79 basis points of policy easing by the

end of 2025, with the first trim coming only in July, according

to data compiled by LSEG.

Aircraft parts maker Transdigm ( TDG ), hotel operator

Marriott ( MAR ) and Marathon Petroleum ( MPC ) are among the

companies reporting before the bell.

Data analytics firm Palantir's shares were down

8.2% after the company's in line profit and modest revenue beat

disappointed investors.

DoorDash ( DASH ) was down 1% after the meal delivery firm

said it will buy Deliveroo ( DROOF ) in a deal valuing the British

rival at about 2.9 billion pounds ($3.86 billion).

($1 = 0.7505 pounds)

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