Traders work on the floor of the New York Stock Exchange on April 29, 2025.
NYSE
Stock futures fell to start the week as investors hoping for news of trade deals instead had to grapple with another set of tariffs after President Donald Trump announced surprise levies on movies made outside the U.S.
Futures tied to the S&P 500 fell around 0.8%. Dow Jones Industrial Average futures shed 266 points, or 0.6%, and Nasdaq-100 futures lost 0.9%.
Trump on Sunday said he was authorizing relevant government agencies to begin imposing a 100% tariff on films produced abroad, calling efforts from other nations to attract more film productions a “national security threat.” It remains unclear if the tariffs would impact movies shown in theaters or movies on streaming services.
Shares of Walt Disney and Netflix — all companies that film abroad — traded 2.5% and 5% lower in early morning trading, respectively.
“I am worried, I was hoping trade deals would be announced by now. They’re not. I don’t think the impact has hit us yet,” said Jeremy Siegel, finance professor at University of Pennsylvania’s Wharton School of Business and Wisdom Tree chief economist.
Wall Street is also looking to the Federal Reserve’s two-day policy meeting beginning on Tuesday, with a rate decision expected Wednesday.
Fed funds futures trading points to just a 3.2% chance of a rate cut, according to the CME Group’s FedWatch tool. Still, traders are keeping a close eye on any commentary from the central bank or Fed Chair Jerome Powell on the outlook for the economy amid heightened uncertainty stemming from the trade war.
Increasing hopes for a U.S. trade deal with major trading partners buoyed sentiment and stocks in recent trading days. Chinese authorities have said they’re evaluating the possibility of starting trade negotiations with the U.S.
The S&P 500 advanced nearly 1.5% on Friday, its ninth straight day of gains — its longest winning run since November 2004 — and managed to recover all losses incurred since April 2, when Trump announced sweeping retaliatory tariffs on goods from many countries. The tech-heavy Nasdaq Composite gained 1.5% Friday, while the Dow industrials rose nearly 1.4%.