U.S. stock index futures showed modest gains early Friday as investors awaited August PMI data, while oil prices eased after Washington signaled fresh economic pressure on Iran. The developments underscored a cautious start to the session, with markets balancing improving domestic data against geopolitical risks.
Futures tracking the Dow Jones Industrial Average added 0.1%, S&P 500 futures rose 0.2%, and Nasdaq 100 futures gained 0.4% as of 03:11 ET. Earlier in the week, major U.S. equity benchmarks slipped, with the S&P 500 closing Thursday at 7,675.27, down 0.43% or 33.08 points.
Attention turned to upcoming U.S. PMI figures, with S&P Global’s August services PMI expected to cool to 53.9 from July’s expansionary reading, while manufacturing PMI was forecast to edge higher to 54.0. A reading above 50 indicates expansion. Deutsche Bank noted that July’s composite PMI reached its highest level since the start of the year, suggesting steady but moderating growth momentum.
Oil markets reacted to geopolitical headlines, with Brent crude futures down 0.4% at $93.41 per barrel and West Texas Intermediate falling 0.6% to $86.36. The contracts had earlier risen more than 5% for the week, retracing from one-month highs amid concerns over potential supply disruptions linked to U.S. sanctions on Iran. Washington’s latest warnings followed a pledge by U.S. Treasury Secretary Scott Bessent to unveil further measures in a Monday press conference, describing the approach as a "one-two punch" combining economic isolation with sanctions.
Retail shares outperformed after Ross Stores reported adjusted quarterly profit of $2.06 per share, exceeding LSEG Reuters expectations of $1.94. The company also raised its full-year per-share income guidance to $8.61–$8.77 from a prior range of $7.50–$7.74. Shares surged more than 8% in extended trading. Ross Stores’ results contrasted with broader retail trends, as competitors like Burlington, TJX, and Shein face competitive pressures from e-commerce giants including Amazon and Walmart.
Analysts at Vital Knowledge cautioned that the Treasury’s rhetoric could backfire, framing the statements as potentially "counterproductive" by amplifying perceived panic and powerlessness amid broader market forces, including energy market volatility and fiscal deficits.
