FX.co ★ US Futures Decline as Trump Considers Strike on Iran

US stock futures declined on Friday due to increasing geopolitical tensions, following reports that President Donald Trump is considering a potential military strike on Iran. The White House indicated on Thursday that a final decision may be reached within the next two weeks, increasing investor anxiety amidst the escalating conflict between Israel and Iran. In addition, markets were assessing the Federal Reserve's recent policy position, as it maintained interest rates earlier this week. Federal Reserve Chair Jerome Powell expressed caution, highlighting increased uncertainty arising from geopolitical risks, Trump's new tariffs, and their ambiguous effects on inflation. The Federal Reserve's revised projections now anticipate two rate cuts in 2025, coupled with weaker growth expectations and a slightly elevated inflation outlook. For the week, the S&P 500 and Nasdaq Composite remain modestly higher, while the Dow Jones is slightly down.