US Futures Mixed as Oil Drops Below $90, Dollar Hits 2-Week High

US equity futures are trading mixed in pre-market hours as oil prices slip below $90 per barrel and the dollar reaches a two-week high, with investors monitoring Middle East developments and awaiting key inflation data.

Overnight Market Developments

Asian markets showed mixed performance overnight, with Indian benchmarks extending losses on Middle East uncertainty while Tata stocks remained steady. The dollar strengthened to a two-week high as traders positioned ahead of upcoming inflation data releases. Oil prices retreated on concerns about weaker demand outlook and higher US inventory levels, despite ongoing supply disruption concerns in the region.

European markets are trading cautiously as geopolitical tensions persist in the Middle East, with Iran remaining in focus following recent developments. Gold pulled back from its two-month peak as traders await inflation cues that could influence Federal Reserve policy direction.

Previous Session Recap

Wednesday’s session saw the S&P 500 close at $772.49, gaining 0.25%, while the Nasdaq 100 outperformed with a 0.73% advance to $723.70. The Dow Jones remained nearly flat, declining 0.02% to $537.15. Technology led sector gains with a 1.49% rally, while Communication Services (-0.90%) and Consumer Discretionary (-1.13%) lagged.

Sector Focus

Technology ETFs remain in focus following yesterday’s strong performance, with the sector benefiting from continued AI and semiconductor momentum. Real Estate (+0.93%) and Utilities (+0.48%) showed defensive strength, while Materials (-1.24%) faced pressure from commodity concerns. Energy sector performance will be closely watched given oil’s retreat below the $90 threshold.

Earnings Calendar

Today’s earnings slate includes Applied Industrial Technologies (AIT) with EPS estimates of $2.95 and revenue projections of $1.31 billion. Other notable reports include Aerojet Rocketdyne (AEBI) expecting EPS of $0.14 on revenue of $484 million, and several smaller-cap names across various sectors.

Economic Data

Market participants are positioning for upcoming inflation data releases that could provide clarity on Federal Reserve policy trajectory. The focus remains on whether recent economic indicators support continued monetary policy adjustments.

This article is generated from market data for informational purposes only. It does not constitute investment advice.