U.S. stock futures showed limited movement early Monday, reflecting cautious investor sentiment ahead of Tuesday’s session. The broader market tone remained subdued as utilities and biotech names faced pressure from regulatory and operational headwinds.
Utilities in California, including PG&E, Edison International and Sempra, fell between 7% and 14% following new state regulations targeting wildfire risks. Biotech firm Moderna and enterprise software company ServiceNow also saw profit-taking after recent gains. In the specialty chemicals and fragrance sector, Givaudan slipped 0.4% and International Flavors & Fragrances dropped 7% in premarket trading, pressured by a new antitrust investigation in India and sustained margin pressure.
GameStop’s stock tumbled more than 5% ahead of the U.S. open after the video game retailer issued a revenue warning for the second quarter. The company projected net sales of $780 million to $800 million, down from $972 million in the same period last year, citing store closures and the sale of its French operations.
U.S. stock futures for the S&P 500, Dow Jones Industrial Average and Nasdaq-100 were modestly lower, with the Dow down 0.1%, the S&P 500 0.05% lower and the Nasdaq-100 down 0.1%. The Swiss Market Index (SMI) declined 0.24% to 14,369.89 points by 11:26 a.m. local time, trading within a narrow 40-point range since the open. The SMI Mid-Cap Index fell 0.44% to 3,120.37, while the broader Swiss Performance Index (SPI) dipped 0.18% to 20,234.60.
Defensive stocks such as Novartis and Swiss insurers provided support, though Roche declined 0.6% and Nestlé slipped 0.1%. Logistics group Kühne+Nagel led gainers with a 1.4% rise, while Holcim led decliners with a 1.5% drop, followed by Lonza and ABB, each down 0.9% and 0.6%, respectively.
Oil prices climbed after U.S. military strikes on targets in Iran, pushing Brent crude above $91 per barrel. The benchmark contract rose 3.3% to $90.98, as analysts warned that escalation risks could delay negotiations over the Strait of Hormuz, keeping prices anchored between $85 and $95 in the near term.
Swiss engineering firm Gurit surged 4.2% after UBS maintained a Buy rating while lowering its price target to 49 francs from 43 francs, citing slower growth in wind materials due to the phasing out of one-time effects in 2027. Wind materials account for 50% to 60% of Gurit’s revenue, but the company benefits from long-term contracts and stable demand from defense and wind markets.
Analysts also pointed to potential regulatory uncertainty around UBS, which fell 0.2% as Switzerland’s Ständerat commission reviewed future banking rules. The bank’s shares had reached a new yearly high on Friday, with some traders speculating that preliminary negotiation outcomes may have influenced Monday’s trading.
Accelleron led SMI decliners with a 4% drop, extending a volatile performance. Meanwhile, Flughafen Zürich recovered 0.7% after Friday’s 7.7% plunge on earnings, with Vontobel maintaining a Buy rating and a slightly reduced price target.
In corporate news, Soitec’s shares rose 4% in Paris to €112.30 after CEO Laurent Remont said customers were signing longer-term supply contracts for silicon wafers, including fixed pricing and upfront payments, driven by strong demand.
