US Stock Market After Fed Minutes; Futures Volatile On Thursday, Will DJIA, Nasdaq, S&P 500 Fall On Oct-8?

The US stock market fell sharply overnight, with the Dow Jones underperforming the most after US Federal Reserve's minutes of the September meeting hinted at one more rate hike this year. Following the similar trend, US stock futures also slipped marginally, indicating bearish performance for Wall Street. The US market also halted its three-day gaining spree with yesterday's fall. However, on the positive front for equities, the 10-year and 30-year Treasury Yields had set below 24-year highs of 5.3% and 5.7%, respectively.

Dow Jones + Nasdaq + S&P 500

Overnight, the Dow Jones closed at 51,179.87, registering a decline of 0.7% or 341 points. Meanwhile, the S&P 500 index slipped 17.16 points or 0.22% to close at 7,801.77. Also, the tech-heavy index, Nasdaq Composite dropped 61.20 points or 0.22% to end at 27,538.69.

"Wall Street closed lower as persistent Treasury yields and a hawkish reading of the Fed minutes offset the positive momentum from recent record highs," said Hariselvan Radhakrishnan, Founder & CEO of HST Wealth.

Also, Trading Economics report pointed out that he declines came as Treasury yields climbed to their highest levels since 2002, with the 10-year and 30-year yields reaching intraday highs of 5.365% and 5.732%, respectively. Elevated oil prices also continued to fuel inflation concerns amid fears of a potential escalation between the US and Iran and persistent threats to shipping through the Strait of Hormuz. In corporate news, Levi Strauss fell nearly 2% in extended trading after the retailer cut its full-year revenue growth outlook.

US Fed Minutes:

Fed Minutes note said, "With regard to the outlook for monetary policy beyond the current meeting, most participants assessed that another increase in the target range for the federal funds rate would likely be appropriate by year end."

However, the minutes note did not offer any clarity regards to when FOMC members will hike benchmark rates. As per them, the consistent rise in crude oil prices and stable labor market warrants for a second rate hike in 2026.

The minutes said, "Participants emphasized, however, that they approached each meeting with an open mind and decisions at future meetings would depend on incoming information and its implications for the outlook and the balance of risks."

Minutes also showed that all policymakers supported raising the target range for the federal funds rate by 25bps to 3.75%-4%. Participants generally emphasized that inflation remained elevated while the labor market appeared to be near full employment, with some signs of strengthening, and that economic activity was expanding at a solid pace. Furthermore, almost all participants assessed that, while inflation risks were tilted to the upside, risks to the labor market had diminished and were now broadly balanced, as per Trading Economics.

US Stock Futures Today, October 8, 2026

At the time of writing, Dow Jones futures plunged 61 points or 0.12% to trade at 51,388 in the early hours of Thursday. On the contrary, Nasdaq futures traded marginally higher by 6 points to 31,408.50, and S&P 500 futures traded volatile to near 7,851.50.

Also, the 10-year yield traded around 5.35%, pulling back from its multi-decadal highs as market is predicting that the Fed will likely keep rates unchanged this month but there 78% probability of a hike in December month. Investors will focus on the upcoming latest weekly US jobless claims data for further clarity on labor market.

Meanwhile, crude oil prices continue to dampen mood in stocks. US WTI crude futures traded higher by 2.15% to above $90.2 per barrel and Brent crude surged over 2.5% to trade around $103 per barrel. Spot gold is near $4,130 per ounce and spot silver trades below $60 per ounce, with marginal upside on October 8. US Dollar has held above its strongest level since April 2025 to 102 mark with hawkish FOMC minutes contributing to the greenback.

On October 8th, watch out for economic data including Continuing Claims, EIA Natural Gas Inventories, Initial Claims, and Wholesale Inventories. In earnings, companies like AngioDynamics Inc. (ANGO), Helen of Troy Ltd. (HELE), NovaGold Resources Inc. (NG), Nurix Therapeutics Inc. (NRIX), PepsiCo Inc. (PEP), and Tilray Brands Inc. (TLRY) will be in focus.

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