Stock futures moved lower Thursday after major indexes posted steep declines yesterday amid mounting concerns about the federal deficit as a budget bill works its way through Congress.

Futures for the Dow Jones Industrial Average dropped 250 points, or 0.58%. S&P 500 futures slipped 0.6%, while Nasdaq futures fell 0.61%. The yield on the 10-year Treasury surged 4.6 basis point to 4.485% after Moody's downgraded the U.S. credit rating one notch late Friday to Aa1 from AAA, the highest grade.

Dow slides as Treasury yields surge above key levels. Traders eye deficit risks, stalled tax bill, and Fed signals for the next stock market move.

The broad market index ended Wednesday’s trading modestly higher, as traders extended the tariff relief rally for a third day.

The U.S.-China tariff negotiations appeared to yield "a broad framework under which the two nations can conduct further talks," an analyst said.

Strategists warned the move, announced after the market close on Friday, could spark some near-term selling in stocks and Treasurys.

House Speaker Mike Johnson said he plans to move ahead with a vote on Trump's tax legislation as soon as tonight despite Republican lawmakers in the House Fr