Dow Set to Open Down With Market on Alert Over Trump and Iran
Stocks look set to open down just a little on Friday after a holiday, though traders seem to be growing more optimistic after the latest developments in the Middle East conflict.
President Donald Trump’s press secretary said Thursday that he will decide in the next two weeks on whether the U.S. will get directly involved in the Israel-Iran conflict. In the meantime, there’s a chance of negotiations. That bolstered futures after they had fallen considerably yesterday as it appeared a U.S. intervention might be imminent.
Futures for the Dow Jones Industrial Average lost 118 points, or 0.3%, in trading before the market opened. They had been down 0.6% yesterday. Contracts tied to the S&P 500 and Nasdaq were each down about 0.2%. Oil prices, which have risen over the past week amid the strikes on Iran, a major producer, were down 0.2%.
There are few other potential drivers for stocks as this summer week draws to a close. The Federal Reserve’s decision to keep interest rates unchanged on Wednesday, while at the same time sticking to the outlook for two quarter-point cuts this year, left markets more or less flat. There are a few earnings reports due today from consultant Accenture, used-car dealer CarMax and grocery chain Kroger.
The yield on the 10-year Treasury bond traded lower at 4.381%; on Wednesday, it was above 4.4%. Gold slipped 1.2% to $3,366 an ounce and the U.S. Dollar Index, a gauge of the greenback against a basket of peers, fell 0.2%.