Equity index futures drop after US launches strikes on Iran, while oil prices climb amid escalating Middle East tensions.
US equity index futures fell sharply at the reopening of Globex, with the ES down 11 points and NQ down 70 points, following US military strikes on Iran. Oil futures rose as geopolitical risks intensified in the Strait of Hormuz region.
The strikes come in response to Iranian attacks on commercial shipping, breaking a fragile ceasefire. Prior sessions saw muted moves in equities, while oil had stabilized after earlier volatility tied to Middle East tensions.
Markets reacted swiftly, with safe-haven assets gaining traction. The escalation adds uncertainty to global supply chains and energy markets, potentially pressuring risk assets further.