US pre-open: Futures fall as oil climbs on renewed Middle East tensions

(Sharecast News) - Wall Street futures were in the red ahead of the open on Monday as oil prices moved higher amid continued tensions in the Middle East. As of 1215 BST, Dow Jones futures were down 0.50%, while S&P 500 and Nasdaq-100 futures had the indices opening 0.53% and 0.96%, respectively.

The Dow closed 478.64 points higher on Friday after three days in the red as oil prices fell amid growing optimism that the Strait of Hormuz could be reopened, while bond yields eased from a 19-year high.

However, oil prices were in focus again early on Monday, with international benchmark Brent crude up 2.89% at $107.34 a barrel and West Texas Intermediate 1.86% higher at $94.13 a barrel after Donald Trump rejected conditions for a ceasefire from Iran aimed at ending their conflict.

Treasury yields also extended last week's sharp gains before the open, with the benchmark 10‑year note up almost 70 basis points at above 5.234% and the 30‑year climbing just shy of gour basis points to 5.535%, leaving both trading around multi‑year highs.

On the macro front, the Dallas Federal Reserve's September manufacturing business index will be published at 1530 BST.

No major corporate earnings were slated for release on Monday.





Reporting by Iain Gilbert at Sharecast.com