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Update: Potential Middle East Ceasefire Lifts US Equity Futures Pre-Bell

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(Updates with economic data, recent oil price movement, world markets' overview and corporate stock movements.)

US equity futures were higher pre-bell Tuesday as traders digested new efforts by mediators to put peace talks between the US and Iran back on track.

Dow Jones Industrial Average futures were 0.3% higher, S&P 500 futures were up 0.4%, and Nasdaq futures were 1.3% higher.

The US Central Command said it completed another round of attacks against Iran on Monday evening, as news reports said Tuesday that Iran-backed Houthis in Yemen are planning a naval blockade on Saudi Arabia.

Mediators are proposing a 10-day ceasefire between the two nations, giving hope that hostilities may de-escalate. Iranian Interior Minister Eskandar Momeni has asked Pakistan to resume its mediation role in the conflict and traveled to Islamabad for further discussions, according to a Reuters report.

Traders took note of the latest round of earnings, with Novartis (NVS) reporting lower core earnings and higher net sales for Q2.

Interactive Brokers Group (IBKR) is expected to report its Q2 financial results after the market closes. Analysts polled by FactSet expect adjusted earnings of $0.64 per share and revenue of $1.8 billion.

Oil prices were higher, with front-month global benchmark North Sea Brent crude up 1.8% at $90.83 per barrel and US West Texas Intermediate crude 1.8% higher at $83.97 per barrel.

The economic calendar is vacant.

In other world markets, Japan's Nikkei closed 3.3% higher, Hong Kong's Hang Seng ended flat, and China's Shanghai Composite finished 1.8% higher. Meanwhile, the UK's FTSE 100 was up 0.1%, and Germany's DAX index was 0.1% higher in Europe's early afternoon session.

In equities, Micron Technology (MU) and SK Hynix (SKHY) stocks were up 5.6% and 5.4%, respectively, as part of a broader rebound in technology-related stocks. Novartis shares rose 3.2% after the company reported Q2 core earnings and net sales that surpassed analysts' consensus estimates. 3M (MMM) stock was up 6% after the company posted a Q2 beat for adjusted earnings and revenue, as well as raised its fiscal 2026 adjusted earnings outlook.

On the losing side, Charles Schwab (SCHW) stock was down 1.3% despite the company's Q2 adjusted earnings and net revenue exceeding analysts' estimates. Danaher (DHR) shares dropped 13% despite the company reporting Q2 earnings and revenue above expectations, and raising its 2026 earnings guidance.

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Update: US Equity Indexes Fall, Crude Oil Rises After Trump Warns More Strikes on Iran Amid Risk to Saudi Arabian Supplies

(Updates with index/price moves, macroeconomic data, and company/geopolitical news from the first paragraph.)US equity indexes fell while crude oil prices rose as President Donald Trump signaled more attacks on Iran amid threats from the Tehran-backed Houthi group to Saudi Arabian crude oil supplies.The Nasdaq slipped less than 0.1% to 25,508.07 on Monday, giving up intraday gains of more than 1%. The S&P 500 fell 0.2% to 7,443.28 after trading in positive territory earlier in the session. The Dow Jones Industrial Average slid 0.6% to 51,839.26, ending the day close to the session low.Health care, materials, and industrials led decliners. Communication services, energy, and technology were the only gainers.President Donald Trump warned Iran "will pay" for three US troop deaths over the past few days, CNN reported. The US is increasing the number of fighter jets in the Middle East as Trump considers how to proceed in the fight against Iran, CNN cited an official.The US military strategy seems to be to attack Iran's offensive and defensive assets until it surrenders its claims on the Strait of Hormuz, according to a Macquarie note. "As for the US's long-term strategic plans, it is clear that they are about diminishing reliance on the Strait over time, by supporting the build-out of alternative oil transportation modalities."Meanwhile, the Tehran-backed Houthi group in Yemen said Monday they were imposing a naval blockade on Saudi Arabia, Reuters reported. The full closure of the Bab el-Mandeb strait would reduce global oil supply by 7% as it would leave most of Saudi oil exports unable to leave the region, the news report said. The disruption would add to the reduction in oil flows from the war, which has already cut shipments by 10% of global supply, it added.The front-month US West Texas Intermediate rose 0.6% to $83.01 a barrel, while global benchmark North Sea Brent climbed 0.9% to $88.88 a barrel, after both crude types traded lower earlier in the session.Most US Treasury yields rose, with the 10-year advancing 5.3 basis points to 4.59%. The two-year jumped 3.9 basis points to 4.21%.In precious metal markets, gold futures slipped 0.2% to $4,013.5, while silver futures climbed 1.3% to $57.06.In economic news, the Conference Board's measure of leading indicators declined by 0.2% in June, larger than the 0.1% decrease expected in a Bloomberg-compiled survey, following a 0.1% increase in May."Consumer spending is weakening, but strong business investment related to AI is expected to support economic activity while inflation continues to improve," said Justyna Zabinska-La Monica, Senior Manager of Business Cycle Indicators. "The Conference Board raised its forecast from 1.8% to 1.9% year-over-year GDP growth for 2026."In company news, Alphabet's (GOOG, GOOGL) Google is working on a new server chip that will allow it to serve its AI models to users more efficiently, The Information reported Monday, citing two people with direct knowledge of the matter. Shares of Google's parent rose 1.5%.

Dow JonesNasdaq CompositeS&P 500$GOOG$GOOGL
Asia Markets

Update: Communication Services, Technology Help Lift Nasdaq and S&P 500; Crude Oil Mixed as Iran Ally Threatens Saudi Supply

(Updates with index/price moves, macroeconomic data and company/geopolitical news from the first paragraph.)US equity indexes traded mixed, with communication services and technology sectors helping lift the Nasdaq Composite and the S&P 500.The Nasdaq rose 0.5% to 25,639.2, with the S&P 500 up 0.2% to 7,468.9 after midday Monday. The price-weighted Dow Jones Industrial Average, which is home to old economy sectors, fell 0.4% to 51,954.8.Consumer staples, utilities, and materials led decliners. Energy was among the trio of gainers as investors weighed geopolitical developments.US Secretary of State Marco Rubio said Sunday night the US "remains open" to talks despite the weekend's violence, and an Iranian official said their side was similarly open to discussions, CNN reported.Iranian Interior Minister Eskandar Momeni is heading a high-level delegation to neighboring Pakistan at the invitation of his Pakistani counterpart, news reports said Monday. The trip comes after Iran's Foreign Ministry announced mediators continue to exchange proposals to get peace talks back on track after nearly two weeks of bombardment.The front-month US West Texas Intermediate slipped 0.2% to $82.35 a barrel, while global benchmark North Sea Brent edged up 0.2% to $88.29 a barrel.In precious metal markets, gold futures slipped 0.2% to $4,013.5, while silver futures climbed 1.3% to $57.06.Meanwhile, Yemen's Iran-aligned Houthis said on Monday they were imposing a naval blockade on Saudi Arabia, a move that widens the threat to global energy supplies and trade beyond the Gulf, Reuters reported.Most US Treasury yields rose, with the 10-year soaring 6.3 basis points to 4.6%. The two-year surged 5.5 basis points to 4.23%.In economic news, the Conference Board's measure of leading indicators declined by 0.2% in June, larger than the 0.1% decrease expected in a Bloomberg-compiled survey, following a 0.1% increase in May."Consumer spending is weakening, but strong business investment related to AI is expected to support economic activity while inflation continues to improve," said Justyna Zabinska-La Monica, Senior Manager of Business Cycle Indicators. "The Conference Board raised its forecast from 1.8% to 1.9% year-over-year GDP growth for 2026."In company news, Alphabet's (GOOG, GOOGL) Google is working on a new server chip that will allow it to serve its AI models to users more efficiently, The Information reported Monday, citing two people with direct knowledge of the matter. Shares of Google's parent rose 2.3% intraday.Barclays upgraded Lumentum (LITE) to overweight from equalweight, with a price target of $1,000. Shares of Lumentum traded 7.2% higher intraday, the top gainer on the S&P 500 and the Nasdaq.

Dow JonesNasdaq CompositeS&P 500$GOOG$GOOGL$LITE
Asia Markets

Exchange-Traded Funds, US Equities Mixed After Midday

Broad Market IndicatorsBroad-market exchange-traded fund IWM fell and IVV rose. Actively traded Invesco QQQ Trust (QQQ) added 0.7%.US equity indexes traded mixed, with communication services and technology sectors helping lift the Nasdaq Composite and the S&P 500.EnergyIShares US Energy ETF (IYE) and the State Street Energy Select Sector SPDR (XLE) each added 1%.TechnologyThe State Street Technology Select Sector SPDR ETF (XLK) gained 0.7%; iShares US Technology ETF (IYW) rose 0.8%, and iShares Expanded Tech Sector ETF (IGM) was up 1.2%.The State Street SPDR S&P Semiconductor (XSD) rose 1.4%, and iShares Semiconductor (SOXX) gained 1.7%.FinancialThe State Street Financial Select Sector SPDR (XLF) fell 0.3%. Direxion Daily Financial Bull 3X Shares (FAS) declined 0.5%, and its bearish counterpart, Direxion Daily Financial Bear 3X Shares (FAZ), advanced 0.8%.CommoditiesCrude oil rose 0.3%, and the United States Oil Fund (USO) added 0.5%. Natural gas dropped 2.2%, and the United States Natural Gas Fund (UNG) eased 2.1%.Gold on Comex fell 0.2%, and the State Street SPDR Gold Shares (GLD) slipped 0.1%. Silver added 1.3%, and iShares Silver Trust (SLV) gained 1.4%.ConsumerThe State Street Consumer Staples Select Sector SPDR (XLP) fell 0.5%. The Vanguard Consumer Staples ETF (VDC) dropped 0.6%, and iShares Dow Jones US Consumer Goods (IYK) lost 0.5%.The State Street Consumer Discretionary Select Sector SPDR (XLY) fell 0.5%. VanEck Retail ETF (RTH) declined 0.3%, and the State Street SPDR S&P Retail (XRT) was down 0.2%.HealthcareThe State Street Health Care Select Sector SPDR (XLV) and iShares US Healthcare (IYH) each fell 0.5%, and Vanguard Health Care ETF (VHT) declined 0.5%. IShares Biotechnology ETF (IBB) shed 0.7%.IndustrialThe State Street Industrial Select Sector SPDR (XLI) eased 0.5%. Vanguard Industrials Index Fund (VIS) and iShares US Industrials (IYJ) were lower as well.CryptocurrencyIn midday activity, bitcoin (BTC-USD) rose 1.5%. Among cryptocurrency ETFs, ProShares Bitcoin ETF (BITO) added 2%, ProShares Ether ETF (EETH) was up 2.9%, and ProShares Bitcoin & Ether Market Cap Weight ETF (BETH) was 1.4% higher.

Dow Jones^EEM^EXI^FAS^FAZ^GLD^IBB^IGM^IGV^IPK^IVV^IWMNasdaq Composite^IYE^IYH^IYJ^IYK^IYW^PMR^QQQ^RTH^SOXXS&P 500^SPY^UNG^USO^VDC^VHT^VIS^XLE^XLF^XLI^XLK^XLP^XLV^XRT^XSD$BETH$BITO$EETH