US stock index futures rose on Monday as easing Middle East tensions pulled crude prices lower. Traders also weighed a potential Bristol Myers Squibb-AstraZeneca merger and a busy week of earnings and jobs data ahead.
US stock index futures edged higher on Monday as signs of de-escalating tensions in the Middle East weighed on crude oil prices, while investors prepared for another week packed with earnings and economic data. At 5:29 a.m. ET, Dow E-minis were up 329 points, or 0.63%, and S&P 500 E-minis rose 36.75 points, or 0.49%; Nasdaq 100 E-minis added 151 points, or 0.53%.
Oil slides as Iran talks continue
President Donald Trump said talks with Iran to reopen the Strait of Hormuz would happen later in the day, though he declined to set a deadline for an agreement. Brent Crude prices fell 5.7% to $83.77 a barrel. Separately, the two-year Treasury note yield dipped four basis points to 4.291%, reflecting short-term interest rate expectations. Higher energy costs since the start of the conflict have fueled uncertainty over the toll on the global economy.
Healthcare stocks swing on merger report
A report said Bristol Myers Squibb and AstraZeneca held preliminary merger talks that could form one of the world's biggest drugmakers, worth nearly $400 billion. Bristol Myers Squibb shares rose 8% in premarket trading, while AstraZeneca slid 6%.
Fed meeting frequency and AI earnings ahead
The Federal Reserve's Kevin Warsh raised the idea of reducing the number of regularly scheduled rate-setting meetings, a report said, in line with his plan to reduce Fed guidance on rates. Traders are pricing in a 64% chance the central bank would increase interest rates in September, the CME Group's FedWatch Tool showed.
SpaceX reports its first quarterly results since going public on Tuesday, with scrutiny on its AI spending and Starlink profits; its shares, trading below their $135 offering price for nearly three weeks, inched up 0.3%. Palantir rose 2.5%, while Micron dipped 1.3% after Reuters reported Chinese rival CXMT is considering building a second memory-chip plant in Beijing.
Jobs data and earnings due this week
Healthcare, consumer and energy sectors stay in focus, with earnings from Eli Lilly, McDonald's and Occidental Petroleum due this week. Official non-farm payrolls figures are due Friday, and a business activity survey later Monday will offer a clearer picture of the manufacturing sector's health in July. Traders are also watching U.S.-Japan intervention in currency markets to halt the yen's slide.
Sources: Economy News, Reuters
Trading involves risk.
Risk Disclaimer
