FX.co ★ US Futures Inch Lower

US equity futures edged lower on Thursday, paring gains from the prior session as renewed tensions around the US–Iran ceasefire tempered optimism over lower energy prices. Futures on the S&P 500, Dow, and Nasdaq 100 were down as much as 0.5%.

Iranian officials accused the US of breaching the terms of their agreement, while Tehran continued to issue threats against vessels waiting to transit the Strait of Hormuz. The shift in tone contrasted with earlier signals from Washington that the deal would restore regional oil flows and support a path to peace—an outlook that had driven a sharp decline in energy prices and bond yields in the previous session.

Technology heavyweights, which had rallied on the improved risk sentiment, traded lower in pre-market action, with Nvidia, AMD, and Broadcom each down more than 0.5%.

Recently released FOMC minutes confirmed that policymakers are increasingly alert to inflationary risks stemming from the conflict, and tomorrow’s CPI report is expected to provide an initial gauge of the impact of higher energy prices on consumer inflation.