US stocks futures move as Dow, S&P 500, Nasdaq fluctuate on Trump’s tariffs and PCE inflation data

US stock futures moved up and down on Friday as investors reacted to President Trump’s new tariffs and waited for fresh inflation data to check if Fed rate cuts are still likely. Dow Jones futures rose about 0.2%, S&P 500 futures went up 0.1%, while Nasdaq 100 futures kept swinging between small gains and losses.

These moves came after three straight days of losses for major US indexes. Trump said he will put a 100% tariff on imports of branded drugs unless the companies are already building factories in the US. He said this on social media late Thursday but did not give more details, as per the report by Yahoo Finance.

Drugmaker shares in Europe and Asia fell after his announcement. Trump also said imports of heavy trucks and some furniture will face new tariffs starting October 1. These tariffs add more worries to markets already concerned about the AI boom, the high risk of a US government shutdown, and a strong economy that makes Fed rate cuts less certain.

S&P 500 weekly loss

The S&P 500 is on track for its first weekly loss this month after a slump ended its record rally. Investors are focused on the Fed’s preferred inflation gauge, the Personal Consumption Expenditures index, due Friday at 8:30 a.m. ET. The forecast is 0.3% month-on-month and 2.7% year-on-year.

TikTok deal and Wall Street reaction

Trump signed an order to approve a deal to separate TikTok’s US business from China’s ByteDance, but China still has to agree. The deal price is $14 billion, which surprised Wall Street since TikTok is thought to be worth about $40 billion.

Trump’s plan for a 100% drug tariff was met calmly by many investors who expect companies with US plants to get exemptions. Analyst Sibylle Bischofberger Frick from Vontobel said, “All big pharma companies have a US presence and almost all have announced large investments in the years to come. Will that prevent their drugs from tariffs? In our view, yes”, as reported by Bloomberg.

Merck, Novo Nordisk, and Eli Lilly have already started building US plants since 2023 in Delaware, North Carolina, and Texas. These plants will support medicines in cancer, diabetes, and immunology. Novartis and Sanofi have also announced big US investments, though it is not clear how far they are. In Europe, pharma shares barely moved. GSK even rose slightly, while Novo Nordisk dropped as much as 3.1%.

Premarket stock movers

Eli Lilly shares rose 1% premarket after Trump’s tariff news. Intel shares rose 3% premarket after reports that it was looking for investment not only from Apple but also from TSM. Paccar shares jumped 5% premarket as it is expected to benefit from Trump’s truck tariffs. Intel’s comeback is being driven by big deals rather than new technology, as reported by Yahoo Finance’s.

Intel had fallen behind in mobile computing, social media, and AI, but now investors are hopeful again. Intel has already received support from the US government, made deals with Nvidia, and now may partner with Apple again, five years after their breakup. Intel is also valued for its role in US national security and technology leadership, beyond its market size.

Asian pharma stocks fall

In Asia, pharma stocks fell after Trump’s tariff plan. In Japan, Sumitomo Pharma dropped 4.3%, Otsuka fell 3.5%, Daiichi Sankyo slipped 1.6%, while Takeda rose 0.2% and Shionogi gained 1.3%. In Australia, CSL shares hit a six-year low. In Hong Kong, the Hang Seng Biotech Index fell about 1.4%, as per the report by Reuters.

In India, the pharma index dropped 2.6% with all 20 companies down, even though generics are not part of the tariffs. Sun Pharma fell 3.4%. Oil prices rose as Ukraine kept striking Russian oil facilities, NATO warned Russia, and Moscow stopped some fuel exports. Brent crude went up 15 cents (0.2%) to $69.57 a barrel. US WTI crude rose 23 cents (0.4%) to $65.21 a barrel.

IG analyst Tony Sycamore said, “Gains were supported by ongoing Ukrainian drone strikes targeting Russian oil infrastructure, NATO's warning to Russia it is ready to respond to future violations of its airspace and Russia's move to halt key fuel exports.” Russian Deputy PM Alexander Novak said Russia will ban some diesel exports until the end of the year and extend a ban on gasoline exports.

The loss of refining capacity may force Russia to cut crude output, and some regions are already facing fuel shortages. Both Brent and WTI reached their highest levels since August 1 this week, helped by a drop in US oil inventories and Ukraine’s attacks on Russian energy facilities, as per the report by Reuters.

FQAs

Q1. Why did US stock futures move up and down today?

US stock futures wavered because of Trump’s new tariff plans and investors waiting for fresh inflation data.

Q2. Which stocks moved after Trump’s tariff announcement?

Eli Lilly, Intel, and Paccar shares rose in premarket trading, while some Asian and European drug stocks fell.