Recession chatter is still making the rounds on Wall Street, but cooler inflation is quelling fears of a dire scenario for the Fed.

Wall Street, already on edge over the next tariff announcements from President Donald Trump, turned lower early Thursday ahead of the latest data on inflation and layoffs.

U.S. equity futures edged lower in early Thursday trading, while Treasury yields and the dollar bumped higher, as investors added the threat of a U.S. government shutdown to a growing list of concerns tied to the fate of the world's biggest economy.