US pre-open: Futures rise as chip rebound continues, oil eases on Iran talks

(Sharecast News) - US stock futures moved higher on Tuesday as chipmakers extended their rebound and oil prices eased on hopes of progress in talks between Washington and Tehran. As of 1300 BST, Dow Jones futures were up 0.23%, while S&P 500 and Nasdaq-100 futures had the indices opening 0.45% and 0.80% firmer, respectively.

The Dow closed 80.77 points lower on Monday, extending losses recorded in the previous session.

However, futures traded higher on Tuesday, with Micron Technology rising 5.15% in pre-market action after a 9.87% bounce on Monday, clawing back some of the heavy losses recorded last week as investors questioned whether the AI‑driven rally in chips had overheated.

Elsewhere in the artificial intelligence space, OpenAI confidentially filed for an IPO late Monday, with some economists viewing the offering as further fuel for the AI‑driven bull market, while others have warned that its $1.75trn valuation could signal a peak in the trend.

Oil prices were also in focus, with West Texas Intermediate crude slipping 2.18% to trade $89.31 a barrel after Donald Trump said a deal between Washington and Tehran could be reached within "two or three days", potentially reopening the Strait of Hormuz "immediately".

Trump's announcement comes after Iran halted strikes against Israel on Monday, but warned it would resume attacks if Israeli operations in Lebanon continued. Hours later, Israeli prime minister Benjamin Netanyahu said the conflict with Iran and Hezbollah was "not yet over".

On the macro front, US small‑business sentiment weakened in May, according to the National Federation of Independent Business' small business optimism index, slipping to 95.3 from 95.9 in April - the lowest reading since October 2024 and below expectations of 96. Taxes were cited as the most pressing issue by 19% of respondents, up two points on the month, followed by inflation at 18%, while supply‑chain issues also continued to bite, with 70% saying disruptions were affecting their business to some degree. Only 16% plan capital outlays in the next three to six months, the weakest level since 2009. A net 36% of owners raised selling prices, the most since March 2023, while a net 34% said they plan to make further increases - the highest reading since July 2022.

Still to come, April's goods trade balance figures will be published at 1330 BST, while April wholesale inventories numbers and May existing home sales data will follow at 1500 BST.

No major corporate earnings were slated for release on Tuesday.





Reporting by Iain Gilbert at Sharecast.com