The Dow is set for more losses following its worst day since January with futures down 200 points

Futures contracts tied to the major U.S. stock indexes added to Wednesday’s steep losses after the Dow Jones Industrial average clinched its worst day since January. Dow futures dropped 216 points, or 0.6%. Nasdaq futures lost 0.4% and those tied to the S&P 500 shed 0.5%. Key tech stocks were once again in the red in premarket trading Thursday but the losses were slight. Tesla was down about 1.8%. Facebook, Apple, Amazon, Netflix, and Google-parent Alphabet were all in the red in early trading, but down less than 0.5%.

Bitcoin dropped 9% after Elon Musk tweeted that Tesla would halt car purchases using bitcoin for environmental concerns. U.S. stocks took a big hit on Wednesday, led to the downside by technology shares as key inflation data showed higher-than-expected price pressures. The Dow fell 681 points, or 1.99%, to notch its single-worst session since January. The blue-chip index clinched its worst day since February on Tuesday. The S&P 500 lost 2.1%, its biggest one-day drop since February, while the tech-heavy Nasdaq Composite slid 2.6%.

The Labor Department reported that the prices American consumers pay for goods and services accelerated at their fastest pace since 2008 last month with the Consumer Price Index spiking 4.2% from a year ago. Investors have been quick to dump growth stocks amid creeping inflation concerns since rising prices tend to squeeze margins and erode corporate profits. If price pressures run too hot for a sustained period of time, the Federal Reserve would be forced to tighten monetary policy.

The Dow is set for more losses following its worst day since January with futures down 200 points, CNBC, May 13