Stock market today: S&P 500, Nasdaq, Dow futures muted with peace talks, AI demand in focus

US stock futures rose modestly on Monday as investors assessed signs of progress in US-Iran peace talks and prepared for a pivotal inflation report later this week.

S&P 500 futures (ES=F) inched above the flat line, while those on the Dow Jones Industrial Average (YM=F) rose 0.2%. Contracts on the tech-heavy Nasdaq 100 (NQ=F) gained 0.3% as Wall Street set up for a muted open after Friday’s holiday closure.

There has been “encouraging progress” in peace talks with the US in Switzerland, Iran said on Monday, with an agreed roadmap to sealing a final deal within 60 days. That eased some nerves over President Trump’s threat of strikes on Iran if Tehran doesn’t rein in Hezbollah’s actions against Israel.

Oil prices fell in bumpy action as Trump’s warning vied with hopes that the deal progress meant oil flows through the blockaded Strait of Hormuz could return to normality. Brent crude futures (BZ=F) slid 1% to just above $78 a barrel, while West Texas Intermediate (CL=F) crude slipped slightly to trade near $75 a barrel.

Also in focus were the prospects for AI demand growth, after SK Hynix (000660.KS) overtook Samsung (005930.KS) to become South Korea’s most valuable listed company in a dramatic reversal of fortunes for the memory chipmaker.

Meanwhile, investors absorbed news of the death of Alan Greenspan at the age of 100, after presiding over the Federal Reserve as chairman through almost two decades of boom and bust.

Looking ahead, investors are gearing up for the May reading of the Personal Consumption Expenditures price index, the Fed’s preferred inflation gauge. The data comes as investors debate the chances that interest rates will remain higher for longer, after the Fed struck a more hawkish tone at its latest meeting.