U.S. stock index futures indicated a weaker start on Monday, with the Dow Jones Industrial Average down 0.19% to 53,234 points, the S&P 500 futures 0.32% lower, and the Nasdaq 100 futures down 0.80% at 29,140.
Chipmakers Intel and Advanced Micro Devices led declines in the tech sector, with Intel down 1.9% and AMD falling 1.7% in premarket trading. The broader market sentiment remained cautious ahead of key events, including Nvidia’s second-quarter earnings release on Wednesday and the Federal Reserve’s annual Jackson Hole symposium, which begins Thursday.
The Swiss Market Index (SMI) fell 0.26% to 14,423 points, dragged lower by ABB, which dropped 1.35% to 79.12 francs. Roche’s participation certificates also declined 1.46%, while Richemont advanced 1.67%, leading gains in the index. The Swiss Performance Index (SPI) slipped 0.01% to 20,276. Among individual movers, Vetropack surged 2.3% following its half-year results, and DocMorris gained 2.1% after Deutsche Bank raised its price target and maintained a 'Buy' rating.
Geopolitical tensions in the Middle East weighed on sentiment, with U.S. oil prices easing slightly from Friday’s highs. Brent crude fell 1.1% to $93.22 per barrel, while West Texas Intermediate (WTI) declined 1.9% to $85.53, still elevated amid concerns over potential disruptions to oil flows through the Strait of Hormuz. U.S. Treasury Secretary Scott Bessent is set to outline new sanctions against Iran on Monday, targeting the country’s ability to reopen the critical shipping route.
Analysts expect the sanctions announcement to introduce further uncertainty, particularly regarding secondary measures that could penalize countries continuing trade with Iran. The potential for escalation with China, a major trade partner of Iran, adds to the risk of broader economic repercussions. Meanwhile, Fed Chair Kevin Warsh’s speech at Jackson Hole on Friday is anticipated to provide clues on the central bank’s policy path amid elevated oil prices and rising bond yields.
In the Swiss market, Novartis and Roche weighed on the SMI, with Novartis down 0.3% and Roche’s participation certificates falling 1.46%. Novartis partially recovered earlier losses, while Kühne+Nagel dropped 1.5% following the announcement of the death of majority shareholder Klaus-Michael Kühne. Sonova slipped 0.3% despite launching a new AI-powered hearing aid generation, as analysts noted increased competition in the sector.
The week ahead will be dominated by Nvidia’s earnings and the Jackson Hole meeting, with market participants anticipating heightened volatility as investors reassess risks tied to geopolitics and monetary policy.
