U.S. equity futures moved lower early Thursday as investors monitored escalating conflict in the Middle East. Oil prices once again moved above the $100-per-barrel level following attacks on vessels near a key shipping route south of Iran, heightening concerns about potential disruptions to global supply. Gold prices steadied but remained pressured amid fears that the oil surge could fuel inflation. Meanwhile, Adobe (NASDAQ:ADBE) is set to report earnings later in the day, while energy major Shell has already released its latest results.
Futures drift lower
U.S. stock futures indicated a weaker start to Thursday’s session as crude prices surged again, even as authorities attempted to offset the impact of the conflict involving Iran by releasing significant volumes of strategic reserves.
As of 04:10 ET, Dow Jones Industrial Average futures were down 218 points, or 0.5%. Futures linked to the S&P 500 declined by 25 points, or 0.4%, while Nasdaq 100 futures dropped 93 points, also down 0.4%.
In Wednesday’s session, the Dow Jones Industrial Average closed at its lowest level of the year so far, reflecting investor concerns that higher oil prices could weigh on both businesses and consumers in the United States.
The S&P 500 ended the day only slightly lower, while the technology-heavy Nasdaq Composite managed to record a modest gain. Market sentiment received some support from better-than-expected earnings from cloud computing company Oracle, which offered an upbeat outlook for demand related to artificial intelligence data centers. February consumer inflation figures in the U.S. also matched expectations, although the jump in oil prices has clouded the future inflation outlook.
While the conflict involving the U.S., Israel and Iran remains the central focus for markets, other themes continue to influence investor sentiment. These include stress within the private credit market, ongoing uncertainty surrounding U.S. tariff policies, and questions about the returns on massive investments in artificial intelligence.
Oil climbs above $100
Crude oil prices briefly surpassed the $100-per-barrel mark again as concerns about supply disruptions persisted while the conflict involving Iran continued to escalate across the Middle East.
At 04:05 ET, Brent crude futures, the global benchmark, rose 4.3% to $95.92 per barrel. U.S. West Texas Intermediate crude increased 3.8% to $90.54 per barrel.
Energy markets have experienced sharp volatility in recent days, highlighting how closely traders are watching developments related to the conflict. Earlier this week, Brent prices surged to nearly $120 per barrel, the highest level seen since 2022.
The primary concern for oil markets centers on the possibility of disrupted shipments through the Strait of Hormuz, a narrow maritime corridor south of Iran through which roughly one-fifth of global oil and gas supply passes, much of it bound for Asia and Europe.
Tanker traffic through the strait has slowed dramatically as threats of Iranian attacks have raised serious safety concerns for shipping crews. Shipping companies have also struggled to obtain insurance coverage for voyages through the region, further limiting activity.
Iran has intensified attacks in the area, while the U.S. Navy has declined to provide escorts for commercial vessels passing through the strait. At least six ships were reportedly struck in the past day, and Bahrain said its oil infrastructure had also been targeted.
These developments come despite efforts by the International Energy Agency to calm markets through the largest emergency oil reserve release in its history. The U.S. Department of Energy also said it would release 172 million barrels from the country’s strategic petroleum reserves.
Gold steadies
Gold prices stabilized after declines during Asian trading hours as continued tensions in the conflict involving the U.S., Israel and Iran pushed energy prices higher and increased concerns about inflation.
Spot gold rose 0.1% to $5,178.65 per ounce by 04:54 ET, while gold futures also gained 0.1% to $5,184.75 per ounce.
Bullion has been trading within a range of roughly $5,000 to $5,200 per ounce. Some analysts warn that the spike in oil prices could reignite inflation, potentially forcing central banks such as the Federal Reserve to reconsider expectations for interest rate cuts in the near term.
Such a shift could strengthen the U.S. dollar, which typically weighs on gold because it makes the metal more expensive for buyers using other currencies. The dollar index was last up about 0.2%, near a two-month high.
Adobe earnings in focus
Adobe (NASDAQ:ADBE) is scheduled to release its quarterly results after markets close on Thursday, with investors keen to see how the company is navigating growing concerns about the role of artificial intelligence in the software industry.
Although AI was initially viewed as a major growth opportunity for software firms, the rapid emergence of new tools has sparked fears of disruption across the software-as-a-service sector. Investors are particularly concerned that advanced AI agents could reduce demand for services ranging from marketing tools to data analytics platforms.
The S&P 500 Information Technology sector, which includes Adobe, has fallen by more than 3% since the start of the year. This represents a notable reversal from 2025, when the index generated a total return of 24%.
Adobe’s share price has mirrored this trend, declining more than 18% year-to-date.
Even before the latest concerns emerged, Adobe had already been pursuing its own artificial intelligence strategy by integrating AI features into products such as Firefly and Adobe Express. These tools allow users to quickly generate images and videos directly within the company’s Creative Cloud ecosystem.
The company’s efforts to monetize AI capabilities appear to be supporting its outlook. Executives forecast fiscal 2026 revenue and profit above Wall Street expectations, projecting annual revenue between $25.90 billion and $26.10 billion and earnings per share between $23.30 and $23.50.
Shell results
Energy company Shell (LSE:SHEL) reported adjusted earnings of $18.5 billion for 2025, compared with $23.7 billion recorded in 2024.
Cash flow from operating activities totaled $42.9 billion, down from $54.7 billion the previous year. Free cash flow came in at $26.1 billion, compared with $39.5 billion in 2024.
The company continued to deliver significant returns to shareholders. Total distributions reached approximately $22.4 billion, including $8.5 billion in dividends and $13.9 billion in share buybacks. These payouts accounted for around 52% of operating cash flow, placing them at the upper end of the company’s target distribution range of 40% to 50%.
The results were released one day after Reuters reported that Shell, the world’s largest trader of liquefied natural gas, declared force majeure on LNG cargoes purchased from QatarEnergy and supplied to customers worldwide. The development followed Qatar’s decision to halt production at its 77-million-tonne-per-year LNG facility and declare force majeure on shipments.
Analysts estimate that Shell receives roughly 6.8 million tonnes per year of LNG from Qatar under supply agreements, while TotalEnergies is estimated to receive about 5.2 million tonnes annually, according to the report.
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