Stock market today: Dow, S&P 500, Nasdaq futures drop following US strikes in Hormuz
US stock futures fell as the US launched a second wave of strikes on Iran near the Strait of Hormuz, with Dow futures down 0.2%, S&P 500 futures down 0.4%, and Nasdaq 100 futures down 0.8%. Tech earnings supported AI sentiment, including Snowflake’s results and a $6 billion AWS deal. PCE rose 0.4% in April; jobless claims increased to 215,000.
How this was made
The 30-second read
Why it matters
Futures fell as escalation risk rose and oil firmed, but the article also notes strong AI-related earnings reactions that could partially cushion tech/AI trades.
Market read
This is a cross-current tape: geopolitical risk-off via Hormuz/energy versus risk-on pockets from AI earnings beats.
What to watch
CRM’s tepid forecast could dampen the ‘AI is uniformly additive’ narrative across enterprise software, limiting broad-based multiple expansion.
Background
US launched a second wave of strikes on Iran near the Strait of Hormuz; markets were already waiting on an update to US-Iran negotiations.
Ticker impact
Snowflake reported strong earnings and announced a $6B deal with AWS, with the stock up more than 30% after hours.
Near-term outperformance versus broader tech is plausible given the after-hours +30% reaction.
The article highlights both an earnings beat and a sizable AWS transaction, which are direct, tradable catalysts; however, futures are pressured by Iran/Hormuz risk.
Marvell reported strong earnings after the bell, reinforcing AI-driven demand for chips and supporting the AI trade.
Potential continuation bid in the next session as traders extend the AI earnings read-through.
The catalyst is specific (strong earnings), but the article provides no guidance numbers; geopolitical/futures weakness could cap upside.
HP reported strong earnings after the bell, signaling AI-driven spending across computers alongside cloud and chips.
Modest positive bias versus peers if investors keep rotating into AI-exposed hardware.
The piece confirms a beat but lacks detail on margins/guidance; broader risk-off from Hormuz could dominate.
Salesforce beat expectations but issued a tepid forecast, raising concerns that AI could disrupt its software business.
Choppy/mean-reverting trading risk: upside from the beat may fade if the forecast dampens AI-software confidence.
Forecast language is explicitly described as tepid, which is a direct risk to the stock’s forward multiple.
Costco is expected to report earnings on Thursday, making it a near-term catalyst for consumer/retail sentiment.
Limited immediate edge until the print; watch for volatility around the scheduled report.
The article only states it is expected to report; no specific fact about results or guidance is provided.
Dell Technologies is expected to report earnings on Thursday, keeping AI hardware demand in focus.
Potential volatility around the report; direction depends on guidance not provided here.
Only the scheduled earnings date is mentioned; no company-specific outcome is described.
Dollar Tree is expected to report earnings on Thursday, relevant to consumer discretionary/discount retail read-through.
Pre-earnings positioning likely cautious given macro uncertainty; no directional catalyst in the article.
The article provides no earnings/guidance details—only that a report is expected.
Best Buy is expected to report earnings on Thursday, relevant to electronics retail demand amid AI-driven hardware narratives.
Volatility likely around the scheduled report; direction not inferable from the article.
No results or guidance are included—only the expectation of reporting.
Market effects
Geopolitical escalation near Hormuz lifts oil risk and can pressure broad equities, while AI-linked earnings (cloud/chips/computers) supports selective tech/semis/hardware rotation.
Primarily US risk sentiment; heightened Middle East tensions can spill into global energy and risk premia affecting US indices.
Strait of Hormuz concerns can influence global oil pricing and risk appetite, indirectly impacting US equities and inflation expectations.
Counterpoint
AI earnings strength may be enough to offset macro/geopolitical jitters for tech, especially if investors treat the Hormuz headline as short-lived.
Key entities
- companySnowflake
Reported strong earnings and announced a $6B deal with AWS; stock jumped >30% after hours.
- companyMarvell
Reported strong earnings supporting AI chip demand read-through.
- companySalesforce
Beat expectations but issued a tepid forecast, raising AI disruption concerns.
- geopoliticalUS-Iran negotiations
Investors waiting for an official update, with ceasefire fragility highlighted by recent exchanges.
