US Futures Dip as Markets Await Fed Meeting and Housing Data Shows Mixed Signals

Futures pointed lower ahead of Tuesday's opening bell as investors digest new housing and import price data while bracing for the Federal Reserve's two-day policy meeting beginning today.

S&P 500 futures were down 16.75 points (-0.29%) at 5,663.50, while Dow futures fell 79.00 points (-0.19%) to 41,804.00. Nasdaq futures showed sharper declines, dropping 91.75 points (-0.46%) to 19,740.00, and Russell 2000 futures decreased 12.60 points (-0.60%) to 2,073.30.

Housing starts jumped 11.2% in February to an annualized rate of 1.5 million units, exceeding the January rate of 1.4 million. The increase marks a return to the historical average, as housing starts in the United States have averaged 1.4 million units since 1959. Building permits, however, edged down to 1.46 million in February from 1.47 million in January, though they remain above the historical average of 1.37 million permits since 1960.

Ask Aime: What impact will the Federal Reserve's policy meeting have on the S&P 500?

The Bureau of Labor Statistics reported that import prices rose 0.4% in February, matching January's increase. The uptick stemmed from higher costs for both fuel and non-fuel imports. Export prices increased at a more modest 0.1% following January's robust 1.3% gain. Year-over-year, import prices are up 2.0%, while export prices have risen 2.1%.

All eyes turn to the Federal Reserve as it convenes its March meeting today. While the central bank is widely expected to maintain the federal funds rate at its current range of 4.25% to 4.5%, investors are particularly focused on the quarterly Summary of Economic Projections, which will provide insight into policymakers' outlook for growth, unemployment, inflation, and future rate movements.

Goldman Sachs analysts anticipate significant revisions to the Fed's projections, noting in a recent client communication: "We expect the FOMC's median economic projections to show a 0.3pp upward revision to 2025 core PCE inflation to 2.8% and a 0.3pp downgrade to 2025 GDP growth to 1.8%, mainly reflecting the tariff news."

Jensen Huang Keynote

Meanwhile, tech enthusiasts await nvidia CEO Jensen Huang's keynote address at the company's annual GTC conference at 1 PM Eastern today. The presentation kicks off several days of discussions on AI chip technology advancements. quantum Day follows on Wednesday, highlighting Nvidia's investments in quantum computing and its integration with artificial intelligence, including potential adoption of co-packaged optics technology in its Quantum InfiniBand networking portfolio.

Read: Nvidia’s Quantum Day at GTC 2025: A Game-Changer for AI and Quantum Computing