U.S. stock futures ticked lower amid growing investor anxiety over potential U.S. military involvement in the escalating conflict between Israel and Iran. The White House confirmed that President Donald Trump will decide on any action within two weeks. Meanwhile, European diplomats are holding talks with Iranian officials in an effort to de-escalate the situation. Despite Friday’s dip, Brent crude remains on pace for a weekly gain as supply disruption fears persist.
1. Stock Futures Edge Down
Markets opened Friday with modest losses as the conflict between Israel and Iran entered its second week. As of 03:36 ET:
- Dow futures were down 89 points (0.2%)
- S&P 500 futures fell by 10 points (0.2%)
- Nasdaq 100 futures declined 32 points (0.1%)
With U.S. markets closed Thursday for a public holiday, global equities slipped and the U.S. dollar strengthened as investors sought safe-haven assets amid geopolitical tensions.
Traders are also weighing recent decisions from several central banks, including the Bank of England, Norges Bank, and Swiss National Bank. On Wednesday, the Federal Reserve left interest rates unchanged and signaled a cautious approach going forward, as uncertainty around Trump’s trade policies continues to cloud the economic outlook.
2. Trump to Make Iran Decision Within Two Weeks
President Trump is expected to decide within two weeks whether the U.S. will support Israel’s airstrikes on Iran, according to White House Press Secretary Karoline Leavitt. She pointed to a possible window for diplomatic talks with Iran but did not confirm if congressional approval would be sought before any military engagement.
Earlier in the week, Trump stated he “may or may not” target Iranian nuclear facilities. The conflict began with Israeli strikes on Iran’s nuclear sites, which Tehran responded to, insisting its program is peaceful. With tensions showing no sign of easing, European foreign ministers are scheduled to meet with Iranian officials in Geneva on Friday.
3. Oil Retreats, But Weekly Gains Hold
Brent crude futures slipped 2.3% to $77.02 per barrel by 03:38 ET, while West Texas Intermediate dropped 0.1% to $73.84. Despite the decline, Brent remains on track for a third consecutive weekly gain. Oil prices had surged nearly 3% on Thursday during light trading due to the U.S. holiday.
The market remains on edge over the risk that the conflict could escalate and disrupt oil supplies, particularly through the critical Strait of Hormuz. ING analysts noted that investors continue to evaluate the likelihood of direct U.S. involvement.
4. Home Depot Reportedly Pursuing GMS – WSJ
Home Depot (NYSE:HD) is making a bid to acquire building materials distributor GMS (NYSE:GMS), according to a Wall Street Journal report citing sources familiar with the matter. The offer price remains undisclosed, but shares of GMS surged in after-hours trading.
Earlier this week, Brad Jacobs’ QXO made an unsolicited $5 billion cash offer for GMS, valuing shares at $95.20 each. Based in Georgia, GMS has attracted takeover interest amid increased housing demand, despite economic uncertainty stemming from tariffs.
5. SoftBank Seeks to Build $1 Trillion AI Complex in U.S.
SoftBank founder Masayoshi Son is proposing a partnership with chipmaker TSMC and the Trump administration to establish a $1 trillion AI-focused manufacturing hub in the U.S., according to Bloomberg News.
The project, named “Project Crystal Land,” would focus on building AI-powered industrial robots and revitalizing high-tech manufacturing in the U.S.—a key priority for the Trump administration. Son has reportedly discussed tax incentives with Commerce Secretary Howard Lutnick and is in talks with other tech companies. TSMC’s involvement has yet to be confirmed.
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