Dow and U.S. stock futures tumbled on Monday amid signs that President Trump will struggle to convince congressional Democrats to fund his lofty infrastructure spending plan.
The U.S. futures market printed red on Labor Day, pointing to a rocky start to September once regular trading resumes on Tuesday. Dow Jones Industrial Average (DJIA) futures fell by as much as 301 points on Monday. The September mini futures contract was last down 87 points, or 0.3%, at 26,291.00.
S&P 500 mini contracts declined 0.4% to 2,914.50. Futures on the Nasdaq Composite Index tumbled 0.5% to 7,653.75.
President Trump’s ambitious plan to fix America’s roads, bridges and airports has divided the Senate about how to actually pay for it. As The Wall Street Journal reports, the Senate may vote on a new infrastructure measure this fall, but the dollar amounts could be far less than what Trump promised when campaigning for president.
Back in July, the Senate Environment and Public Work committee passed a bipartisan funding bill for $287 billion for road projects. That’s a 27% increase from current funding levels but falls well short of the trillion-dollar-plus package Trump had promised.
In 2018, the president tried to unlock $200 billion in federal funding for infrastructure projects, but that failed to gain traction in Congress. After meeting with House Speaker Nancy Pelosi and Senate Minority Leader Chuck Schumer, Trump put forward a funding agreement worth $2 trillion. The deal quickly fell apart amid the Russia collusion scandal. All eyes will be on the Dow when the stock market resumes trading on Tuesday.
Last modified: September 23, 2020 12:59 PM