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US Equity Futures Drop Pre-Bell as Oil Prices Jump Amid Lack of Progress in US-Iran Talks

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US equity futures were lower pre-bell Wednesday as oil prices rose following US Secretary of State Marco Rubio's statement that Iran was not taking negotiations seriously.

Dow Jones Industrial Average futures were 0.1% lower, S&P 500 futures were down 0.3%, and Nasdaq futures were 0.7% lower.

US Central Command said in a post on X that it completed the 11th straight day of attacks against Iran, stating that the Strait of Hormuz "remains open for commercial vessel transit."

"The problem we're having right now is that they're not serious about talks. If they're serious, we're serious. If they're not, then we will do what's necessary to protect our interests, and also the interests of our allies," Rubio said during the ASEAN Foreign Ministers' meeting in the Philippines, according to multiple media reports.

Traders also took note of the latest round of earnings, with Philip Morris International (PM) reporting higher Q2 adjusted earnings and net revenue.

Alphabet (GOOG, GOOGL) is expected to report its Q2 earnings after the market closes. Analysts polled by FactSet expect earnings of $2.88 per share on revenue of $117.06 billion.

Oil prices were higher, with front-month global benchmark North Sea Brent crude up 4.1% at $94.74 per barrel and US West Texas Intermediate crude 3.8% higher at $87.57 per barrel.

The Atlanta Fed Business Inflation Expectations survey for July is expected at 10 am ET.

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