Dow Futures opened the trading week on a cautious note on Monday as investors tread carefully amid rising geopolitical tensions.
The fresh dip in the stock futures came after US President Donald Trump ordered strikes on Iran on Sunday, a move which can widen the Israel-Iran conflict.
The strikes on Iran mark a significant shift in the region’s geopolitical landscape, prompting traders to reassess risk across equities, commodities, and digital assets.
Dow futures continue to trade in red
Dow Jones Industrial Average futures slipped by 34 points, or 0.08%, after starting the overnight session in the red. S&P 500 futures were down 0.06%, while Nasdaq-100 futures edged lower by 0.05%.
With no significant economic data released immediately ahead and uncertainty lingering over potential further escalation, futures are likely to remain sensitive to any new headlines or shifts in sentiment.
Oil prices, which had already spiked on fears of supply disruptions, surged further in response to the strikes before paring gains slightly as hopes for diplomatic engagement resurfaced.
Brent and US crude oil futures rose about 3% last week, reaching their highest levels since January.
Bitcoin tumbled below $99,000
The anxiety was not just limited to the stock market as the cryptocurrencies also witnessed a turbulent session with Bitcoin plunging to its lowest level in over a month.
The flagship cryptocurrency has shed more than 2% in 24 hours.
Ether dropped 5%, falling below $2,200, while other major tokens like Solana, XRP, and Dogecoin also suffered steep losses.
Tech world displays resilience
Despite the broader market’s volatility, big technology stocks continued to stand out for their resilience.
The so-called “Magnificent Seven, Apple, Tesla, Microsoft, Nvidia, Amazon, Alphabet, and Meta, mostly traded higher last week, with Apple leading the pack on Friday.
Tesla’s robotaxi launch stole the limelight after its launch in Austin, Texas on Sunday. The stock will be closely watched as the early riders share mixed reviews about Tesla’s Full Self-Driving (FSD) software.
On the corporate side, there was notable divergence. Accenture shares took a hit after the company missed Wall Street’s booking estimates, disappointing investors.
In contrast, Home Depot shares gained ground following reports of a potential acquisition, signaling optimism about the company’s growth prospects.
Meanwhile, in the crypto and fintech space, Circle, the stablecoin issuer, saw its stock surge.
This rally was fuelled by progress on the GENIUS Act in Congress, which also lifted shares of Coinbase and other crypto-related companies.
The legislative momentum suggests growing institutional support for digital assets, adding another layer of excitement for investors in the sector.
The GENIUS Act is a new piece of legislation gaining attention on Capitol Hill that aims to provide clearer regulations for the cryptocurrency industry.
Its goal is to create a more transparent and secure framework for digital assets, helping to protect investors while encouraging innovation.
Many in the crypto community see it as a positive step toward mainstream adoption and greater stability in the market.
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