US futures cautious ahead of Jackson Hole symposium, talks over Ukraine

US stock futures edge lower ahead of Jackson Hole symposium; Asia ends mixed

US index futures slipped in early trade on August 18, pausing after two consecutive weeks of gains as investors turned cautious ahead of the Federal Reserve’s annual Jackson Hole policy symposium later this week, and talks over Ukraine with US President Trump.

Dow Jones futures were down about 0.2%, while S&P 500 and Nasdaq 100 futures too were lower by 0.1% each, signalling a softer start to the week.

Tesla shares fell nearly 0.7% in premarket after a UK media report said the company was offering discounts of up to 40% on leased cars amid slowing sales. Novo Nordisk shares gained over 4% after the USFDA cleared its blockbuster drug Wegovy for treating metabolic dysfunction-associated steatohepatitis (MASH), boosting optimism around a new revenue stream.

US futures already pricing in an 85% chance of a September cut, with much of the ‘good news’ likely baked in, said traders. Ross Mayfield, an analyst with Baird noted that consumer-facing sectors are hitting record highs, challenging the narrative of a weak US consumer, while some warn that Powell’s speech at Jackson Hole could reintroduce hawkishness if inflation risks resurface. The equity market sentiment appeared positive on earnings resilience and policy easing, but is nervous that Fed’s comments could upset the momentum.

The earnings season drawing to a close with retailers like Walmart, Target, Home Depot, and Lowe’s slated to report this week. Of the S&P 500 companies that have already declared results, nearly 82% have beaten analysts’ estimates, showed FactSet data.

US indices are coming off their second straight weekly advance, with the Dow rising 1.7% last week, the S&P 500 up 0.9%, and the Nasdaq Composite higher by 0.8%. The gauge of smallcap shares outperformed with a 3% rise on expectations of monetary easing.

Asia Mixed

Earlier, Asian indices ended mixed as investors weighed geopolitical developments and domestic cues. Japan’s Nikkei 225 hit a record close after rising 0.77% on strong gains in consumer cyclicals and auto stocks like Suzuki, which surged over 10%. China’s CSI 300 index climbed 0.88% to its highest since October 2024, while Taiwan’s Taiex closed at a fresh record.

On the other hand, South Korea’s Kospi slipped 1.5% and Hong Kong’s Hang Seng lost 0.37%. The Nifty 50 advanced 1.21% and the Sensex gained 1.06%, supported by hopes of rationalization in goods and services tax. Australia’s ASX 200 added 0.23% after giving up stronger intraday gains.