Traders work on the trading floor of the New York Stock Exchange on April 1, 2024.
Brendan McDermid | Reuters
(Watch CNBC’s special live market special Sunday at 6 p.m. ET. here.)
U.S. stock futures were little changed on Sunday as investors faced a host of issues, including Iran’s missile and drone attacks on Israel, and a surge in stock market volatility that contributed to the Dow Jones Industrial Average’s worst week of the year last week.
Futures linked to the Dow Jones Industrial Average An increase of 48 percentage points, or 0.13%. S&P 500 Index Futures Added 0.14% and Nasdaq 100 Futures It rose slightly by 0.06%.
The Dow Jones lost 476 points and the S&P 500 had its worst day since January on Friday amid lingering inflation concerns and a slow start to the first-quarter earnings season. Those losses sent the Dow down 2.4% last week, its worst week since March 2023 and its second consecutive weekly decline. The S&P 500 fell 1.5%, its worst week since October 2023.
Iran fired drones and missiles at Israel on Saturday night, its first direct attack on Israeli soil. While most threats are intercepted, concerns of retaliation remain.
Oil prices, which had risen over the past few weeks before tensions escalated in the Middle East, were slightly lower on Sunday.
Krishna Guha, senior managing director and head of the global policy and central bank strategy team at Evercore ISI, wrote: “This remains a dangerous situation, but the risks to oil and markets may be higher than Friday’s attacks Worry less on the eve.
Guha added that the “main question” remaining was how Israeli Prime Minister Benjamin Netanyahu would respond to the attack. Guha noted that the Biden administration has made it clear it does not want Israeli retaliation.
“If Netanyahu appears willing to follow U.S. advice, there may be some relief in the market on Monday. However, our colleagues on the energy team do not expect a significant retracement in oil prices,” Guha added.
On the profit side, investors will focus on Goldman Sachs and M&T Bank Results will be available Monday morning. More economic data is also scheduled to be released. Retail sales data is due on Monday, along with business inventories data for February and manufacturing data for March.
U.S. Treasury yields rose for much of last week as consumer prices topped forecasts for a third straight session, but they eased back on Friday as investors bought U.S. Treasuries as a safe haven from geopolitical tensions. Price and yield are inversely related.
although JPMorgan The company reported first-quarter profit on Friday that beat analysts’ expectations, sending its shares down 6% as investors fretted about the potential earnings from its loans over the next year. Chief Executive Jamie Dimon also expressed concern about the “troubling” global landscape and “ongoing inflationary pressures.”
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