U.S. futures retreat as rate-hike bets push Treasury yields to 19-year highs

  • U.S. stock futures declined as October Federal Reserve rate-hike expectations intensified.
  • Treasury yields reached levels unseen in more than 19 years.
  • MGM Resorts fell 8.7% after People Inc. withdrew its privatization proposal.

U.S. stock futures declined Thursday as expectations for another Federal Reserve interest-rate increase in October pushed Treasury yields to their highest levels in more than 19 years. Artificial intelligence-linked shares led premarket losses, with Intel down 3.8% and Marvell off 3.5%, as rising yields increase financing costs and reduce the present value of projected earnings. Meta Platforms fell 2.6% despite launching updated smart glasses and a portable device for interacting with its Muse AI assistant, following a roughly 12% gain since the previous Friday. MGM Resorts plunged 8.7% after Barry Diller’s People Inc. withdrew its proposed privatization offer, while People Inc. shares gained 4%. Everpure rose 5% after forecasting fiscal 2028 revenue of $7 billion to $7.3 billion, above the $6.37 billion Wall Street consensus. Stitch Fix dropped 18% on weak fiscal 2027 projections and fourth-quarter results; the company also said an August checkout error temporarily prevented some customers from requesting fresh deliveries and has since been fixed. TransUnion fell 3% after Chief Financial Officer Todd Cello announced his departure, though the company maintained its third-quarter and full-year outlook.

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