US stock futures are sliding sharply as investors react to increasing doubts regarding potential rate cuts by the Federal Reserve in 2025, driven by strong economic data that has fueled inflation worries. Key tech stocks have been particularly impacted, with the Nasdaq futures dropping more than 1%. Market analysts suggest that recent good news for the economy is paradoxically straining the stock market, as it raises fears about persistent inflation and higher interest rates. The stock market is seeking direction ahead of crucial data releases related to bank earnings and consumer inflation, as traders recalibrate their expectations for monetary policy. Overall, the sentiment is cautious, with many traders trimming their bets on rate cuts and anticipating a challenging environment ahead.