Futures drop after U.S. GDP, inflation data

U.S. stock index futures declined on Friday following economic data releases. The Commerce Department reported that fourth-quarter GDP grew at a 1.4% annualized rate. This growth was slower than many analysts expected. Meanwhile, inflation in December rose more than economists had predicted. The data showed tighter price pressures despite the slowing economy. Futures dropped as investors assessed the implications of the mixed signals. The slower GDP growth suggests moderating economic momentum. In contrast, rising inflation points to persistent cost pressures. These results present a challenge for policymakers monitoring economic conditions. Traders appeared cautious heading into the weekend amid the data release. The stock market’s reaction reflected concerns about the economic outlook and inflation trajectory.