US equity futures were lower early Monday as traders parsed weekend developments in the Middle East, with the futures tied to the Nasdaq 100 Index recording only a marginal loss, while the Dow lagged on energy-led pressure.
The cross-asset tone reflects a market still anchored to Middle East headlines. The West Texas Intermediate (WTI)-grade crude appears to be rebounding following two straight sessions of gains. Incidentally, crude came under pressure earlier in the Asian session following the U.S. President Donald Trump’s announcement that Washington would move to "free" stranded cargo ships in the Strait of Hormuz under an initiative dubbed "Project Freedom," with implementation set to begin Monday. Iran meanwhile said it is reviewing Washington's response to its latest 14-point proposal.
Pre-Market Snapshot (Quotes as of 7:30 a.m. ET)
- S&P 500 Futures: 7,213.75 (-0.12%)
- Dow Futures: 49,649 (-0.38%)
- Nasdaq-100 Futures: 27,965.75 (-0.01%)
- Russell 2000 Futures: 2,826.20 (-0.24%)
- VIX: 18.17 (+6.95%)
- WTI Crude Futures: $105.30 (+3.30%)
- Gold Futures: $4,579.30(-1.40%)
- EUR/USD: 1.1703(-0.15%)
- Bitcoin (USD): $78,904.04 (+0.31%)
Equities: Tech Flat But Mideast Weigh on cyclicals
Wall Street enters Monday's session off a record-setting close. The S&P 500 closed above 7,200 for the first time ever on Friday, with both the S&P and Nasdaq posting their strongest monthly performances since 2020, and the Dow logging its best month since November 2024.
Asian trade provided a constructive lead-in. South Korean stocks rose Monday to hit a fresh record, with the Kospi up 5.12%, and Hong Kong's Hang Seng gained 1.24%, while Australia's ASX 200 moved down 0.37%. Markets in Japan and China are closed for public holidays.
Pre-market single-stock action was driven by M&A. The news of GameStop's takeover bid for eBay sent the former’s stock down by nearly 4%, while the latter jumped by about 10%. BlackBerry, considered a meme stock, continues to find follow-through buying after its earnings report released last week.
Commodities: Oil Recovers, Gold Gives Back Gains
Crude is heading into the U.S. session with gains, rebounding from two straight sessions of losses.
The diplomatic backdrop remains jagged. Iranian media reported an Iranian attack on a U.S. warship and that another vessel was turned back from the Strait, with Iran's Navy claiming it blocked "American-Zionist" warships from entering the zone, according to reports that have not been independently confirmed. Meanwhile, the U.S. has received an updated peace proposal from Tehran. Trump said the two sides had made progress but he was unsure if a deal would ever materialize. He also faces a 60-day War Powers deadline on military action in Iran; the administration contends a ceasefire reached three weeks ago has "terminated" hostilities, which would reset the clock.
In metals, bullion is unwinding part of last week's safe-haven bid, falling below $4,600 per ounce on Monday. The move followed reports that a tanker was struck by projectiles in the Strait shortly after President Trump announced "Project Freedom" — a reminder that diplomatic signals and ground-level incidents remain out of sync. Gold is down roughly 13% since the conflict began.
Forex: Dollar Recovers
The Japanese yen retreated against the dollar in the New York session after staging another sharp intraday jump early Monday. The Bank of Japan (BoJ) intervention risk is set to dominate USD/JPY early in the week, compounded by thin liquidity across Asian markets: both Japan and China are closed Monday and Tuesday, with Japan also shut Friday.
What traders are watching into the open
- Headlines on the "Project Freedom" rollout and any confirmation of the reported tanker strike in the Strait of Hormuz
- Iran's response to Washington's reply on its 14-point proposal and any movement on the 60-day War Powers clock
- USD/JPY price action and follow-through from suspected Tokyo intervention amid thin Asia liquidity
- Continued tech-led leadership in pre-market after record S&P 500 and Nasdaq closes Friday
- M&A flow — GameStop's bid for eBay — for sector read-through
- On the economic front: Factory goods orders data for March, the Federal Reserve’s Loan Officer Survey and New York Fed President John William’s public appearance
