US stock market today: Futures steady after tech rally; oil prices fall on potential US-Iran talks
At 7:07 am ET, S&P 500 futures were up 0.04%, while Nasdaq-100 futures gained slipped 0.08%. Dow Jones Industrial Average futures edged up 0.19%.
US futures pared earlier losses after Japanese news agency Kyodo News reported that Iran had offered to reopen the Strait of Hormuz within seven days if the United States takes steps to ease military pressure. The report, citing a senior Iranian government official, said the proposal was conveyed to Washington through mediators on September 16.
The report has not been independently verified.
Brent crude fell further on Tuesday, briefly slipping below $98 a barrel before recovering some ground. The benchmark was on track for a fifth straight session of declines and had lost more than 10% over the previous five sessions.
The decline followed a sharp sell-off in the previous session, when West Texas Intermediate crude futures fell 4.5% to $95.78 a barrel, while Brent settled more than 3% lower at $100.34 a barrel.
European stocks also turned positive following the report, with the Stoxx 600 index last up 0.2%.
US stocks surged on Monday, with AI and technology shares driving gains across the major indexes.
On Monday, the S&P 500 climbed 1.5% to 7,764.70, while the Nasdaq Composite jumped 2.3% to 27,122.09. The Dow Jones Industrial Average gained 366 points, or 0.7%, to 52,048.83.
Meta Platforms surged more than 11%, while Intel and Advanced Micro Devices gained 12% and around 10%, respectively. AMD briefly reached a $1 trillion market capitalisation. Nvidia rose 2%, while Corning advanced nearly 6%.
The gains came as oil prices retreated, easing some concerns over inflation and the economic impact of the US-Iran conflict.
Treasury yields
The 10-year US Treasury yield fell more than four basis points on Monday to 4.951%.
Treasury yields have remained elevated amid concerns over rising government debt, higher oil prices and persistent inflation, even after the Federal Reserve raised its key interest rate by 25 basis points last week.
Data, earnings in focus
Investors will watch the Richmond Fed’s manufacturing survey on Tuesday, along with remarks from New York Fed President John Williams and Richmond Fed President Tom Barkin.
AutoZone is scheduled to report earnings before the market opens, while KB Home is due to report after the closing bell.
Asian markets also gained, with Japan’s Nikkei and South Korea’s Kospi advancing after the rally in US technology stocks.
Also Read: US plans $5 billion West Asia reconstruction fund for Iran war amid hostilities
