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US futures fall, oil jumps as hospital blast fans Mideast fears: Stock market news today

US futures fall, oil jumps as hospital blast fans Mideast fears: Stock market news today

Stocks pointed to a lower open on Wednesday, as a tightening in Middle East tensions was reflected in a jump in oil prices, and as tech results help earnings season hit its stride.

Dow Jones Industrial Average (^DJI) futures dropped 0.3%, while S&P 500 (^GSPC) futures shed roughly 0.5%. Contracts on the tech-heavy Nasdaq 100 (^NDX) fell almost 0.6%.

Caution prevailed in markets as Israel and Palestinian authorities traded blame for an explosion at a hospital in Gaza.

President Joe Biden landed in Israel on Wednesday, but Jordan cancelled a planned summit with Arab leaders after the Gaza blast. Biden’s comment that the “other team” was responsible dimmed hopes for a diplomatic solution and highlighted the risk of a full-blown regional conflict.

Oil prices moved up 3%, with gains stacking up after Iran’s foreign minister called for an embargo against Israel. Crude oil (CL=F) futures climbed to $89.00 a barrel, while Brent crude (BZ=F) traded at $92.15 a barrel at last check.

Rising fuel prices give investors another inflation factor to consider as they weigh the Federal Reserve’s next move in interest rates. The major US stock indexes closed mostly flat on Tuesday, after strong retail sales spurred expectations that the Fed will hike again this year.

Read more: What a Fed rate-hike pause means for bank accounts, CDs, loans, and credit cards

In earnings, Procter & Gamble and Morgan Stanley will get third-quarter results rolling again with reports expected before the bell. Later, Tesla (TSLA) and Netflix (NFLX) lead out tech earnings, closely watched for any impact from “higher for longer” interest rates.

Among techs, shares of ASML (ASML) (ASML.AS) fell after the Dutch chip equipment maker warned about flat sales ahead, as customers slow orders thanks to an uncertain economic backdrop.

Meanwhile, Nvidia (NVDA) stock retreated alongside other semiconductor makers after the US tightened curbs on AI chip technology exports to China, though there could be a lifeline in the rules.

  • Morgan Stanley, P&G, and ASML: Stocks trending in premarket trading

    Here are some of the stocks leading Yahoo Finance’s trending tickers page in premarket trading on Wednesday:

    Morgan Stanley (MS): Shares fell by over 2% on Wednesday. Third-quarter profits dropped 9% from a year ago as revenue from investment banking and trading fell, as reported by Yahoo Finance’s David Hollerith.

    Procter & Gamble (PG): Shares rose by 2% premarket. Yahoo Finance’s Brian Sozzi reported on P&G’s successful push with price increases as it continued to double down on new product innovations.

    ASML (ASML): Shares in ASML were down by 3%. The semiconductor equipment maker announced lower-than-expected orders on Wednesday.

    Nvidia (NVDA): Shares dropped by over 1% after a more than 4% decline on Tuesday, after the US said it would tighten curbs on chip exports to China. However, the Biden administration’s new rules appeared to throw Nvidia, along with Intel (INTC) and AMD (AMD), a lifeline in the hope it would help preserve the US chipmaking business. It was also reported on Wednesday that Foxconn will build a new kind of data center using Nvidia chips and software.

  • Stock futures fall as Middle East crisis unsettles markets

    Major US stock gauges were poised for a muted open Wednesday amid growing tensions in the Middle East, as investors waited for Netflix and Tesla to kick off tech earnings.

    Futures on the Dow Jones Industrial Average (^DJI) were down 0.34%, or 117 points, while S&P 500 (^GSPC) futures dropped 0.49%. Contracts on the tech-heavy Nasdaq 100 (^NDX) fell 0.64%.

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