US stock futures traded lower on Thursday during European hours, with Dow Jones futures edging down by 0.02% to around 52,890, S&P 500 futures declining 0.06% to near 7,610, and Nasdaq 100 futures falling 0.24% to approximately 29,620 [1]. The market's attention is focused on upcoming US Retail Sales and Initial Jobless Claims data, as well as anticipated earnings reports from major companies including Netflix, UnitedHealth, and General Electric, all due later in the day [1].
Investor sentiment has turned cautious amid escalating military actions in the Middle East, which have driven crude oil prices sharply higher. This energy price spike has reignited concerns about a potential secondary wave of inflation, creating uncertainty around the Federal Reserve's future interest rate decisions [1]. According to the Islamic Republic News Agency (IRNA), an Iranian army spokesperson stated that the United States continues to attack several areas and warned that the conflict could spread to new arenas, though Tehran emphasized it has no confrontation with neighboring states [1].
US Central Command (CENTCOM) confirmed launching another wave of strikes aimed at keeping the Strait of Hormuz open, including a direct attack where US aircraft fired missiles into an oil tanker's smokestack, disabling the vessel and heightening global market anxiety [1].
Despite these concerns, Wall Street saw gains on Wednesday as cooling inflation data led to lower Treasury yields, which in turn lifted equities. The Nasdaq rose 0.62%, the S&P 500 gained 0.38%, and the Dow increased by 0.29%, with financials, communication services, and consumer discretionary sectors leading the advance [1].
CONCLUSION
US stock futures are under pressure as geopolitical tensions and inflation fears overshadow positive momentum from recent cooling inflation data. Investors remain cautious ahead of key economic releases and corporate earnings, with market direction likely to hinge on further developments in both the Middle East and US economic indicators.