Economic Downturn Looms as U.S. Stock Futures Plunge

U.S. stock index futures declined following a disappointing GDP report, which suggests a slowing economy amid global trade tensions. The Commerce Department recorded a 0.3% GDP decline in the first quarter, versus expected growth. Private payrolls also underperformed, rising by only 62,000 in April, missing forecasts.

U.S. stock index futures took a hit as a disappointing GDP report heightened fears of an economic slowdown in the face of ongoing global trade tensions. According to the Commerce Department, the GDP fell by 0.3% in the first quarter, contrary to economists' predictions of 0.3% growth.

In another blow to economic confidence, the ADP National Employment Report revealed that private payrolls grew by only 62,000 in April, falling short of the predicted 115,000. This adds to concerns over the economic outlook.

As of 08:31 a.m. ET, all major indexes showed declines; Dow E-minis dropped 138 points or 0.34%, S&P 500 E-minis decreased by 42.5 points or 0.77%, and Nasdaq 100 E-minis were down 215 points or 1.09%. The data underscores a challenging period for the world's largest economy.

(With inputs from agencies.)