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US stock futures climbed on Monday, eyeing a rebound as jitters over a widening in the Israel-Iran conflict started to recede despite exchanges of missile strikes throughout the weekend.
Dow Jones Industrial Average futures (YM=F) rose 0.5%, while those on the S&P 500 (ES=F) moved up 0.6%. Contracts tied to the Nasdaq 100 (NQ=F) gained 0.7%. The cautious optimism follows a bruising Friday session that saw the Dow plunge more than 700 points in a broad risk-off move.
Meanwhile, oil (CL=F) prices edged lower after jumping in the wake of the latest attacks, having surged last week to their highest levels since January.
The geopolitical flare-up comes at a delicate moment for markets already buffeted by tariff insecurity. Friday’s selloff dragged the major US indexes into negative territory for the week.
Read more: The latest on Trump's tariffs
Now investors are regaining some appetite for risk amid rising optimism that the conflict won't spill over into a broader regional crisis. President Trump said on Sunday there's a "good chance" of an Israel-Iran peace deal, but the hostilities may need to play out first. “Sometimes they have to fight it out, but we’re going to see what happens,” he told reporters.
A measure of calm is also returning to the oil market, rattled by fears of disruption to the global energy supply. After spiking initially, prices pushed down well over 1% to pull Brent crude (BZ=F) toward $73 a barrel and WTI crude to below $72 a barrel.
Gold (GC=F) prices also pulled back, having rallied alongside oil as it drew safe-haven flows amid rising volatility. The precious metal traded lower at around $3,440 an ounce.
On the trade front, the EU is reportedly ready to accept US tariffs of 10% across all its exports — the baseline for Trump's "reciprocal" hikes — as the president puts pressure on trading partners to reach a deal. The offer is a bid to avert higher rates on cars, drugs, and electronics, Handelsblatt reported.
Looking ahead, markets overwhelmingly expect the Fed to hold rates steady on Wednesday. While President Trump has maintained pressure on Chair Jerome Powell to cut rates, current market dynamics may leave little room to budge.
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Michael Saylor's Strategy announces $1 billion bitcoin buy
Strategy (MSTR), the largest corporate holder of bitcoin, reported in a filing to the Securities and Exchange Commission that it purchased $1.05 billion worth of bitcoin between June 9 and June 15.
Strategy, which is chaired by crypto tycoon Michael Saylor, has spent $41.8 billion to purchase 592,000 bitcoins since 2020, holding the cryptocurrency as its primary treasury reserve asset.
Shares of MSTR rose 1.4% in premarket trading. The stock is up roughly 3,000% since the software firm first bought bitcoin on Aug. 10, 2020.
Defense stocks flat after rally, Palantir rises
Northrop Grumman (NOC), RTX (RTX), and Lockheed Martin (LMT) traded roughly flat in premarket Monday after rallying in the prior trading session.
The defense stocks had climbed Friday after Israel launched a series of airstrikes on Iran, raising tensions in the Middle East and heightening fears of a broader regional conflict.
Northrop Grumman stock gained nearly 4%, while Lockheed Martin and RTX shares rose over 3%. The three companies supply weapons to Israel through contracts with the US government.
Palantir (PLTR) rose a more modest 1.6% Friday but was up 2.2% before the market open Monday.
Sarepta stock plummets after second patient dies after receiving treatment
Shares of Sarepta (SRPT) plunged 40% in premarket trading on Monday after the company said a second patient died of liver failure while taking its experimental gene therapy, Elevidys.
Sarepta paused its clinical trial and halted shipments of the treatment to patients who are unable to walk.
News of the death comes after another patient died of acute liver failure in March, which raised concerns over the drug's safety. The therapy is used to treat Duchenne muscular dystrophy, a rare muscle disorder.
Investors (and Trump) are about to find out if Fed still wants rate cuts in 2025
The focus at this week's Federal Reserve meeting is on whether policymakers are still committed to two interest-rate cuts this year, Yahoo Finance's Jennifer Schonberger reports:
Good morning. Here's what's happening today.
Trending tickers: US Steel Corp, Kering and Tesla
Here are some top stocks trending on Yahoo Finance in premarket trading:
United States Steel Corporation (X) stock was up 5% before the bell on Monday after President Trump approved of Japan's Nippon Steel's take over of the company. Trump the gave the green light to the $14.9B bid for US Steel on Friday, removing a key hurdle in Nippon's 18-month pursuit of the business.
Kering's (KER.PA) Paris-listed shares rose 9% in premarket trading on Monday, after reports emerged that Renault's chief executive, Luca de Meo would become head of the French luxury goods group Gucci.
Tesla (TSLA) stock was up 1% on Monday before the bell, rebounding from losses earlier in the Month due to CEO Elon Musk and President Trump's feud.
Renault falls, Kering pops as turnaround leader de Meo switches CEO roles
Renault's (RNO.PA) stock dropped over 6% on news that its CEO Luca de Meo has decided to leave.
The Italian who turned around the French automaker has been recruited by Kering (PPXB.F, PPRUF) to perform a similar feat at the luxury goods maker, according to Bloomberg.
Shares of Kering rose almost 10% in Paris as investors welcomed the report that de Meo will be appointed as the Gucci owner's CEO in coming days.
Bloomberg reports:
Recessionary vibes seen from the advertising industry?
Greetings from Cannes Lions, where I am stationed for the week talking with top advertising execs, sports stars and CEOs. Tough assignment!
I have found this event to be very useful each year in helping to understand the economy into year end. You would be surprised how forward-looking market spend trends are at the world's biggest companies.
To that end, I just got off set with Disney's (DIS) president of global advertising Rita Ferro — one of the top names in the marketing industry. I asked her if a slowing US economy and general macro volatility were beginning to chip away at ad budgets.
She wasn't super bullish about ad spending — more cautiously optimistic. Businesses are buying ads once they see they need them, rather than making large commitments on ad spend early, she suggested.
"I think people are being very intentional where they spend money," Ferro tells me. "I would say they're [the data points she watches] not recessionary. We see much closer in buying."
Gold pushes just shy of record high as geopolitical instability causes haven demand
Gold prices rose as the conflict erupting between Israel and Iran pushed investors toward safe-haven assets in a broader risk-off move.
Bloomberg reports:
Oil spikes before holding gains as Israel-Iran missile strikes stoke production and supply concerns
Oil continues to gain as Israel and Iran enter the fourth consecutive day of missile strikes between the warring nations. Iran is the third largest oil producer in OPEC+ and controls the Strait of Hormuz, an essential supply route for oil worldwide.
Bloomberg reports:
