U.S. stock market futures fall: Dow, S&P 500, Nasdaq fall on oil drop, Fed signals, and rising Iran–Israel tensions

Economic Times

4 hours ago

U.S. stock market futures slipped early Thursday as the Dow, S&P 500, and Nasdaq reacted to weaker oil prices, fading hopes of a Fed rate cut, and growing tensions between Iran and Israel with possible U.S. involvement. Investors are staying cautious after Fed officials hinted at just one rate cut in 2024, despite cooling inflation. The drop in Brent crude and a flight to safe assets like gold have added to market anxiety. With global headlines shifting quickly, traders are watching both Wall Street and the Middle East. Here's everything you need to know about what's moving the market today.
U.S. stock market futures dipped as Dow, S&P 500, and Nasdaq reacted to falling oil, Fed signals, and Iran–Israel tensions. Here's what's driving the drop—and what it means for your money, gold, and Wall Street today.
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S&P 500 futures : down about 0.2% to 0.3%
: down about Dow Jones futures : lower by roughly 0.15% (about 105 points)
: lower by roughly (about 105 points) Nasdaq-100 futures: sliding around 0.3%
What's driving the U.S. stock market futures down today?
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Which major stocks are making headlines in pre-market trading?
Stocks on the rise
CarMax (KMX) jumped 10% after reporting strong earnings that beat Wall Street estimates.
jumped after reporting strong earnings that beat Wall Street estimates. Circle Internet (CRCL) rose 9.7% on investor optimism around a new digital payment initiative.
rose on investor optimism around a new digital payment initiative. Tesla (TSLA) gained 1.6% , with excitement building over its robotaxi unveiling event in Texas later this year.
gained , with excitement building over its robotaxi unveiling event in Texas later this year. GMS Inc. (GMS) popped 29% after reports surfaced that Home Depot is preparing a takeover bid.
popped after reports surfaced that is preparing a takeover bid. Coinbase (COIN) is up about 2.2%, thanks to renewed momentum in the crypto market.
Stocks losing ground
Accenture (ACN) slid 3.7% on weaker-than-expected bookings guidance, signaling slowing enterprise demand.
slid on weaker-than-expected bookings guidance, signaling slowing enterprise demand. Smith & Wesson (SWHC) dropped a steep 13% following a quarterly earnings miss.
dropped a steep following a quarterly earnings miss. Regencell Bioscience (RGC) tumbled almost 19.5% as investors reacted to disappointing clinical updates.
How are oil and gold prices reacting to market uncertainty?
Oil cools down after earlier spike
Brent crude was last down nearly $2 , trading at around $76.96 a barrel
was last down nearly , trading at around WTI crude is also trending lower but remains up roughly 3.8% for the week
Gold slips as risk appetite recovers slightly
Gold futures were down about 1.15% in early Friday trading
The drop follows a two-week rally sparked by global uncertainty and a weaker dollar
What economic data and market trends should traders watch today?
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1. The Philly Fed Index
2. Consumer Sentiment
3. Interest rate speculation
4. Tech and energy stock movement
What should investors watch today?
Key economic data: Keep an eye on the Philly Fed manufacturing index and other leading indicators expected later today.
Keep an eye on the and other leading indicators expected later today. Oil prices: Any flare-up in the Middle East could push crude sharply higher, impacting inflation forecasts and energy stocks.
Any flare-up in the Middle East could push crude sharply higher, impacting inflation forecasts and energy stocks. Gold: A further dip might signal reduced market fear — or strengthen the U.S. dollar's trend.
A further dip might signal reduced market fear — or strengthen the U.S. dollar's trend. Earnings: Watch for more surprise moves from tech, industrials, and consumer stocks throughout the session.
Where does the U.S. stock market stand heading into the weekend?
U.S. stock market futures are drifting slightly lower this morning, June 20, as traders weigh a mix of earnings surprises, falling oil prices, and fresh uncertainty over rising geopolitical tensions in the Middle East. With inflation data, Fed policy expectations, and crude volatility all in focus, investors are staying cautious ahead of the opening bell.At around 7:30 a.m. ET, Dow Jones futures were down about 105 points, or 0.15%, while S&P 500 futures dipped around 0.2%. Nasdaq-100 futures slipped nearly 0.3%, dragged by tech-sector pressure and global risk sentiment.Markets are treading carefully ahead of new economic data and uncertainty surrounding potential U.S. military involvement in the Middle East conflict.There's no single reason why markets are down this morning—it's a mix of headlines. The biggest drag comes from geopolitical uncertainty. After reports of Israeli military strikes in Iran earlier this week, oil prices surged briefly. Now, as things cool slightly, traders are rebalancing risk.President Trump is expected to make a key decision within the next two weeks on whether the U.S. will directly assist Israel militarily, which could have ripple effects across oil markets, defense stocks, and global equities. According to CNBC, this is one of the key concerns for investors trying to understand where markets could go next.Then there's the Federal Reserve. The central bank held interest rates steady this week but continued with a hawkish tone, suggesting it's still not ready to cut aggressively. Traders in the futures market now price in about 47 basis points of rate cuts by the end of 2025, with around 59% odds of a September rate cut, according to CME Group's FedWatch Tool.Several big-name companies are seeing sharp moves ahead of the trading session. Some are soaring, while others are tumbling after disappointing results or news.Oil markets are still feeling the aftershocks of this week's geopolitical headlines. Prices rose earlier in the week when Israeli airstrikes hit Iran, but today they're easing slightly.Earlier in the week, Brent surged as high asamid fears of escalating conflict, but the pullback suggests markets are hoping tensions won't spiral further—for now.Gold, often seen as a safe-haven investment, is also heading lower.Still, investors haven't fully backed off gold yet. If geopolitical fears pick back up or the Fed surprises markets, gold could spike again.Investors have several key things to keep their eye on as Friday trading gets underway.The Philadelphia Fed's manufacturing report will be released today. It's a leading indicator of economic health and can offer clues about whether the economy is slowing or holding up.Look for any updates in consumer behavior or retail data, which could hint at the strength of upcoming earnings for consumer-facing brands.Fed officials remain cautious about inflation, and today's commentary from Fed speakers could shift expectations again. As of this morning, markets still lean toward a, but nothing is guaranteed.Tech stocks are struggling this morning, weighed down by broader market tension. Meanwhile, energy stocks could swing based on oil's path. Companies like, andmay see volatility throughout the day.Theare in a wait-and-watch mode. With the Fed not offering immediate relief, global conflicts brewing, and oil and gold reacting to every headline, there's little room for complacency.Investors should stay focused on key economic reports, earnings announcements, and geopolitical developments. As we close out the week, sentiment appears cautious—but not panicked. A lot depends on how the next 24 to 48 hours unfold in the Middle East and Washington.