Stock market today: Dow, S&P 500, Nasdaq futures trade flat as tariff troubles linger

US stock futures traded flat as investors faced the tough reality that despite trade tensions easing, President Trump’s tariffs still stand to deal a blow to the economy.

Futures attached to the Dow Jones Industrial Average (YM=F), the benchmark S&P 500 (ES=F), and the tech-heavy Nasdaq 100 (NQ=F) flatlined.

On Tuesday, stocks pulled back amid fresh concern that tariffs are weighing on the economy. The decline came after six straight days of gains that boosted the S&P 500 to within 3% of a record high.

Stocks have been on a rollercoaster ride since President Trump unveiled sweeping new tariffs in April. A deal between China and the US to temporarily roll back new duties sent stocks soaring last week.

Read more: The latest on Trump’s tariffs

However, warnings are mounting that Wall Street’s euphoria over trade deals may be misplaced, with one strategist describing recent sentiment as ‘unwarranted optimism.’

Tariffs remain at their highest level since 1939 and forecasts for economic growth are muted. Meanwhile, more Federal Reserve officials say a slew of economic problems lie ahead, and new data shows shipments to the US have already dropped dramatically.

Tariffs have taken center stage this earnings season, and the performance of retail giants has pushed the issue even further into the spotlight. Walmart (WMT) last week warned consumers to expect higher prices, while Home Depot (HD) on Tuesday pledged to not raise its prices.

Investors will get another pulse check on how retailers are faring amid pricing problems and falling consumer sentiment with Target (TGT) and Lowe’s (LOW) reporting earnings on Wednesday.