U.S. stock index futures hovered near flat on Tuesday evening as investors weighed fresh geopolitical tensions, rising Treasury yields and upcoming economic data. S&P 500 futures were little changed at 7,637.5 points, while Nasdaq 100 futures remained flat at 29,112. Dow Jones futures edged 0.17% higher to 52,914, paring some of Monday’s 1% decline.
Brent crude oil prices climbed 6.57% to $94.18, extending gains amid escalating Middle East tensions. The U.S. conducted a second round of airstrikes against Iran’s Islamic Revolutionary Guard Corps within a week, deepening disputes over the Strait of Hormuz. While Washington asserted the waterway remained open to commercial shipping, Iran maintained it remained closed, with vessel traffic reportedly at a fraction of pre-conflict levels.
Global bond markets showed heightened volatility, with the U.S. 10-year Treasury yield approaching 5%, nearing three-year highs. Australia’s 10-year government bond yield surged to its highest level in over 15 years, while Japan’s 10-year yield hit 30-year peaks. The Bank of Canada was widely expected to hold its benchmark rate steady at 2.25% at its upcoming meeting.
Economic data scheduled for release included the ADP private payrolls report and factory orders, with the Federal Reserve’s Beige Book providing a snapshot of economic activity, hiring and pricing pressures across its 12 districts. The combination of geopolitical risk, rising yields and incoming data kept investors cautious ahead of key policy signals.
