But the Fed's move fed a chain reaction that sent oil prices climbing yet again. Lower interest rates tend to undercut the dollar, which reached an all-time low against the euro following the Fed's decision. The greenback's tumble drove investors to the commodities market in search of a hedge: Oil prices surged above $96 a barrel in electronic trading overnight, while gold prices topped $800 an ounce.
The concern on Wall Street comes in part because Fed cautioned that higher energy and commodity prices could add to inflation pressures. Rising inflation could prevent the central bank from cutting rates further this year.
Dow futures fell 32.00, or 0.20 percent, to 13,904.00. Standard & Poor's 500 index futures shed 5.80, or 0.37 percent, to 1,549.10. Nasdaq
100 index futures lost 3.25, or 0.14 percent, to 2,249.25.
Investors awaited another heavy day of earnings reports, as well as economic news including figures on pending home sales in September and weekly claims for unemployment benefits. Exxon Mobil Corp., world's largest publicly traded oil company, was among those scheduled to report results before the market open.
European markets moved lower. Britain's FTSE 100 fell 0.54 percent, Germany's DAX index shed 0.33, and France's CAC-40 declined 0.62 percent. In Asia, Japan's Nikkei stock average rose 0.79 percent, while Hong Kong's Hang Seng index rose 0.45 percent
[Associated Press;
By LAUREN VILLAGRAN]
Copyright 2007 The Associated Press. All rights reserved. This
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