Category: Market Summary

U.S. stock futures are signaling a weaker start on Tuesday, indicating that equities may retreat after the strong gains recorded in the prior trading session.

The cautious tone comes as crude oil prices recover, with global benchmark Brent futures climbing back above the $100 per barrel mark.

Brent prices had fallen nearly 11% during Monday’s session after President Donald Trump said the United States and Iran had engaged in productive discussions aimed at resolving the conflict in the Middle East.

However, oil prices are now moving higher again as Israel and Iran continue to exchange strikes. Large explosions have been reported in Tehran and other cities, while Iranian officials denied that negotiations with the United States had taken place.

“Iranian people demand complete and remorseful punishment of the aggressors,” Iranian Parliament Speaker Mohammad Bagher Ghalibaf wrote in response to Trump’s comments.

He also said Trump’s recent statements “is used to manipulate the financial and oil markets and escape the quagmire in which the U.S. and Israel are trapped.”

Iran’s foreign ministry also rejected Trump’s remarks, saying they were “part of efforts to reduce energy prices and buy time” for possible military action.

With the conflict now in its 25th day and no immediate signs of easing, Saudi Arabia and the United Arab Emirates are moving closer to joining the fight against Iran, according to a report by the Wall Street Journal.

On Monday, U.S. equities surged early in the session before giving up part of their gains later in the day, although the major indices still finished firmly higher. The rebound followed Friday’s session, when markets had dropped to their lowest levels in several months.

Even though the major averages closed well below their intraday highs, they still posted solid gains. The Dow climbed 631.00 points, or 1.4%, to 46,208.47. The Nasdaq advanced 299.15 points, or 1.4%, to 21,946.76, while the S&P 500 added 74.52 points, or 1.2%, to end at 6,581.00.

The early rally on Wall Street came after Trump softened his earlier threat to “obliterate” Iran’s power plants if the Strait of Hormuz was not fully reopened.

In a post on Truth Social, Trump said the United States and Iran had held “very good and productive conversations regarding a complete and total resolution of our hostilities in the Middle East.”

Trump said he subsequently ordered the War Department to delay any strikes on Iran’s power plants and energy infrastructure for five days.

Later, speaking with CNBC’s Joe Kernen, the president said the United States is “very intent on making a deal with Iran,” after previously saying he was not interested in negotiations.

Trump had earlier threatened to “obliterate” Iran’s power plants if the Strait of Hormuz was not reopened within 48 hours.

Iran responded by warning that it would target energy and water infrastructure across the Gulf region if the United States followed through with its threat.

Buying interest faded somewhat as the day progressed after Iranian state media reported that the country’s foreign ministry denied holding negotiations with the United States.

Trump later told reporters that the United States was speaking with a “top person” in Iran whom he described as the “most respected,” though he acknowledged that the individual was not the new supreme leader, Mojtaba Khamenei.

Airline stocks were among the strongest performers, with the NYSE Arca Airline Index jumping 4.2% after closing at a four-month low last Friday.

Gold mining stocks also advanced, with the NYSE Arca Gold Bugs Index rising 3.4%, even as gold prices dropped sharply.

Networking stocks also moved higher, lifting the NYSE Arca Networking Index by 3%.

Steel, housing, oil service and computer hardware stocks also posted notable gains amid broad buying across Wall Street.

Futures tied to the major U.S. equity benchmarks edged slightly lower, while oil prices resumed their climb as fighting involving Iran continued. The renewed tension comes despite U.S. President Donald Trump announcing a temporary pause in planned American strikes on Iran’s power infrastructure. Fresh attacks have been reported across parts of the Middle East, while Tehran has rejected Trump’s assertion that the two sides had held “good” discussions about ending the conflict. Investors are now focusing on upcoming U.S. business activity data, which may offer early insight into how the war is affecting the wider economy.

Futures trade cautiously

U.S. equity futures moved little on Tuesday as markets tried to gauge the outlook for the Iran conflict following Trump’s decision to delay military action targeting Iranian power plants.

As of 04:20 ET, Dow futures were down 25 points, or 0.1%, while futures on the S&P 500 and Nasdaq 100 were broadly flat.

The main Wall Street indices finished higher in the previous session after Trump said Washington had conducted “productive” talks with Tehran. Iranian officials quickly disputed the claim, accusing the U.S. president of fabricating the story in order to calm volatile markets.

“[T]here is a ton of skepticism about the conflict coming to an end anytime soon,” analysts at Vital Knowledge wrote in a note to clients. They suggested equities could continue to advance but cautioned that the S&P 500 may face a “hard ceiling” between 6,900 and 7,000. The benchmark closed Monday at 6,565.55.

Fresh attacks across the region

Any hopes that Trump’s announcement might signal an imminent end to the conflict were tempered as new missile strikes were reported across the Middle East.

Media reports indicated that multiple locations in Israel, including areas of Tel Aviv, came under attack. The Wall Street Journal also reported that Kuwait and Saudi Arabia had been targeted by drone and missile strikes, while Israel said it had carried out strikes on sites in Lebanon associated with Iran-backed Hezbollah.

The Strait of Hormuz remains a central concern. The strategic shipping route south of Iran, through which roughly one-fifth of global oil supply flows, has effectively remained closed to tanker traffic. The disruption has become a major flashpoint in the joint U.S.-Israeli campaign against Iran and threatens to restrict vital energy supplies, particularly for Asian importers.

Oil prices have surged in response, heightening fears that a new wave of global inflation could emerge and force central banks to reconsider tightening monetary policy.

Brent crude futures, the global benchmark, briefly dropped below $100 per barrel after Trump’s announcement — the first time this had happened in weeks. Nevertheless, prices remain well above levels seen before the war, when Brent traded around $70 per barrel.

At 04:34 ET, Brent futures for May delivery were up 1.6% at $101.58 per barrel.

Gold stabilizes

Gold prices steadied during European trading, as the earlier pullback in oil prices helped the precious metal recover some of its recent losses.

Gold had been under sustained pressure in recent sessions after rising energy costs stoked fears that inflation could remain elevated.

As a result, markets have trimmed expectations for interest-rate cuts, with investors increasingly anticipating that central banks — including the Federal Reserve — will keep borrowing costs higher for longer.

Higher interest rates typically weigh on gold because the metal does not generate income, making yield-bearing assets such as government bonds relatively more attractive.

Spot gold was last down 0.1% at $4,403.98 an ounce by 04:52 ET.

Dollar supported

The U.S. dollar held firm as traders evaluated conflicting messages coming from Washington and Tehran.

The uncertain outlook and renewed fighting have reinforced demand for the greenback as a safe-haven asset.

After falling close to a two-week low following Trump’s social media post on Monday, the dollar index — which measures the currency against a basket of major peers — was up 0.3% at 99.25 by 04:48 ET.

“The dollar continues to be bounced around by the latest headlines on the war in the Middle East,” analysts at ING said in a note. “Traders will be eager to hear, particularly from the Iranian side, whether there is any realistic chance of ceasefire negotiations getting started. Until then, any further rally in risk assets and sell-off in the dollar will prove limited.”

U.S. flash PMIs due

On the economic front, investors are awaiting the release of the U.S. flash purchasing managers’ index for March.

The data should provide one of the earliest indications of how the Iran conflict is affecting business conditions, analysts at Vital Knowledge said.

Last week, Federal Reserve Chair Jerome Powell stated that it was “too soon to know the scope and duration of the potential effects on the economy” resulting from the conflict, although he warned that higher energy prices are likely to lift inflation in the near term.

Markets are also awaiting a weekly employment indicator from payroll processor ADP. Signs of weakness in the U.S. labor market, combined with the risk that an energy shock linked to Iran could push inflation higher again, are key concerns for Federal Reserve officials as they consider the future direction of interest rate policy.

U.S. stock index futures are signaling a strong gain at the open on Monday, indicating that equities could bounce back after the sharp losses recorded in recent sessions.

Investors may be tempted to re-enter the market following the recent downturn that pushed both the Nasdaq and the S&P 500 to their lowest closing levels in more than six months.

The improved outlook for markets follows comments from U.S. President Donald Trump, who stepped back from earlier warnings that the United States would “obliterate” Iran’s power plants if Tehran failed to reopen the Strait of Hormuz.

In a post on Truth Social, Trump said Washington and Tehran had held “very good and productive conversations regarding a complete and total resolution of our hostilities in the Middle East.”

He added that he had instructed the War Department to delay any military strikes on Iranian power plants and energy infrastructure for five days.

Previously, Trump had threatened that the United States would “obliterate” Iran’s power plants if the Strait of Hormuz was not reopened within 48 hours and said he had no interest in negotiating with Tehran.

Iran responded by warning it would target energy and water infrastructure throughout the Gulf if Washington carried out the threatened attacks.

Although oil prices fell sharply after Trump’s latest remarks, Iran’s state-linked Fars news agency later reported that Tehran was not engaged in direct negotiations with the United States, either directly or through intermediaries.

Wall Street extended losses on Friday

Stocks fell significantly during Friday’s session, adding to declines from earlier in the week and sending the Nasdaq and the S&P 500 to their lowest closing levels in more than six months.

Both the Dow and the Nasdaq briefly slipped into correction territory — defined as a drop of 10% from recent peaks — before trimming some of their losses late in the day.

Technology stocks led the retreat, with the Nasdaq falling 443.08 points, or 2.0%, to 21,647.61. The S&P 500 declined 100.01 points, or 1.5%, to 6,506.48, while the Dow Jones Industrial Average dropped 443.96 points, or 1.0%, to 45,577.47.

These declines erased the earlier strength seen at the start of the week. For the week as a whole, the S&P 500 fell 1.9%, while both the Dow and the Nasdaq lost 2.1%.

Oil volatility continues to steer markets

The downturn on Wall Street came amid ongoing volatility in oil markets, which has been a major driver of trading in recent days.

Crude oil for May delivery has fluctuated sharply during the session but was recently climbing nearly 3% in electronic trading.

Prices initially surged after reports of fresh attacks on energy facilities in the Middle East, but the gains faded after reports suggested Washington may consider easing sanctions on certain Iranian oil exports in order to boost supply and lower prices.

However, prices turned higher again following remarks from Trump during an interview with MS Now’s Stephanie Ruhle, in which he suggested the United States would continue striking Iran until it could “never rebuild.”

Trump later told reporters he was not interested in a ceasefire with Iran, saying, “You don’t do a ceasefire when you’re literally obliterating the other side.”

Despite the sharp swings in recent sessions, oil prices remain well above levels seen before the conflict began, raising concerns about inflation and the outlook for interest rates.

Data from CME Group’s FedWatch Tool currently suggests that the Federal Reserve is unlikely to cut rates this year, with some probability that borrowing costs could even rise by year-end.

Tech and rate-sensitive sectors under pressure

Computer hardware stocks were among the hardest hit on Friday. The NYSE Arca Computer Hardware Index fell 6.0% after closing at a record high in the previous session.

Super Micro Computer (NASDAQ:SMCI) led the sector’s losses, plunging 33.3% after U.S. prosecutors charged several employees of the company with smuggling Nvidia (NASDAQ:NVDA) chips into China.

Networking stocks also experienced heavy selling, with the NYSE Arca Networking Index dropping 4.6%. The index had also closed at a record high the day before.

Utilities — a sector sensitive to interest rates — also weakened significantly, sending the Dow Jones Utility Average down 3.7% to its lowest closing level in more than a month.

Gold miners, commercial real estate companies and airline stocks also posted notable losses amid the broad selling pressure across Wall Street.

Shares of UK-listed gambling companies jumped on Monday after U.S. lawmakers introduced bipartisan legislation aimed at preventing prediction market platforms from offering contracts tied to sports betting, according to a report from the Wall Street Journal.

By 12:25 GMT, Flutter Entertainment (LSE:FLTR) — which owns the major U.S. sportsbook FanDuel — had surged 7.6%. Rival Entain (LSE:ENT), the London-listed operator behind Ladbrokes and the BetMGM joint venture, rose 6.4%.

The Wall Street Journal reported that Senators Adam Schiff and John Curtis are preparing legislation that would prohibit entities regulated by the Commodity Futures Trading Commission, including platforms such as Kalshi and Polymarket, from offering contracts linked to sporting events or casino-style games.

Kalshi has indicated that sports-related wagers account for roughly 90% of its trading activity. Because these platforms operate as federally regulated exchanges, they have been able to avoid state-level gambling licensing rules — an advantage that has pressured the share prices of traditional betting operators in both the U.S. and Europe in recent months.

Regulatory scrutiny is also increasing at the state level. Arizona has filed a 20-count criminal case against Kalshi, while authorities in 11 states have issued cease-and-desist orders targeting the platform.

Flutter’s FanDuel currently holds about 43% of the U.S. sports betting market, while Entain’s BetMGM joint venture generated $2.8 billion in revenue in 2025.

U.S. stock futures indicate a weaker start to trading on Thursday, pointing to additional losses after equities faced heavy selling pressure in the previous session.

Investor sentiment is being dampened by concerns about the escalating conflict in the Middle East following attacks on key energy infrastructure throughout the region.

Israel launched strikes on Iran’s South Pars natural gas fields and oil facilities in Asaluyeh, while an Iranian missile strike targeting Qatar’s Ras Laffan energy complex reportedly caused “extensive damage,” according to the country’s state-run energy company.

In a post on Truth Social, President Donald Trump warned that the United States could “massively blow up the entirety of the South Pars Gas Field at an amount of strength and power that Iran has never seen or witnessed before” if additional attacks are carried out against Qatar.

Brent crude futures, which surged to nearly $120 per barrel after the latest developments, have since retreated slightly but remain above $113 per barrel.

Stocks fell sharply during Wednesday’s trading session, reversing most of the gains recorded in the previous two days. All three major U.S. indices finished firmly in negative territory, with the Dow Jones Industrial Average and the S&P 500 approaching their lowest levels in nearly four months.

By the closing bell, the indices had recovered modestly from their intraday lows. The Dow dropped 768.11 points, or 1.6%, ending the day at 46,225.15. The Nasdaq Composite declined 327.11 points, or 1.5%, to 22,152.42, while the S&P 500 fell 91.39 points, or 1.4%, to close at 6,624.70.

After an early decline, selling pressure intensified later in the session following a negative reaction to remarks by Federal Reserve Chair Jerome Powell after the central bank confirmed its widely anticipated decision to keep interest rates unchanged.

Speaking at the post-meeting press conference, Powell said the United States is seeing “some progress on inflation,” but “not as much as we had hoped.”

Although the Fed’s latest projections still suggest the possibility of a quarter-point rate cut later this year, Powell cautioned that “you won’t see the rate cut” unless inflation continues to move lower.

Powell also highlighted the difficult balance facing policymakers, stating that “the risks to the labor market are to the downside, which would call for lower rates, and the risks to inflation are to the upside, which would call for higher rates or not cutting anyway.”

The Fed’s comments followed its decision to maintain the target range for the federal funds rate at 3.50% to 3.75%, after also leaving rates unchanged at its January meeting.

Most Fed officials supported keeping rates steady, although Fed Governor Stephen I. Miran once again favored lowering rates by a quarter percentage point.

Earlier market weakness had already been triggered by a report from the U.S. Labor Department showing producer prices rose more sharply than expected in February.

The department said its producer price index for final demand increased by 0.7% in February after rising 0.5% in January. Economists had anticipated a smaller gain of 0.3%.

The report also showed that the annual increase in producer prices accelerated to 3.4% in February from 2.9% in January, while economists had expected the yearly pace to remain unchanged.

Combined with the recent surge in crude oil prices tied to the Middle East conflict, the data has heightened concerns about the outlook for inflation.

Gold-related stocks dropped sharply as the price of the precious metal declined, pushing the NYSE Arca Gold Bugs Index down 6.4% to its lowest closing level in two months.

Airline stocks also experienced notable weakness, with the NYSE Arca Airline Index falling 3.0%.

Telecommunications shares were also under pressure, dragging the NYSE Arca North American Telecom Index down 2.7%.

Housing, retail and pharmaceutical stocks also posted notable declines, joining most other major sectors in moving lower.