U.S. Stock Futures Rise Amid Calmer Geopolitics, Key Earnings, and Election Countdown

U.S. stock index futures climbed on Monday, supported by easing geopolitical concerns and anticipation of a busy week, including key technology earnings, nonfarm payroll data, and final U.S. presidential election campaign pushes. By 06:35 ET (10:35 GMT), Dow Jones Futures were up 225 points (0.5%), S&P 500 Futures gained 36 points (0.6%), and Nasdaq 100 Futures rose 155 points (0.8%).

Oil Prices Drop as Middle East Tensions Ease
Investor risk appetite surged as oil prices declined significantly after a weekend strike by Israel on Iran avoided critical nuclear and oil sites. This strategic targeting reassured markets that a broader Middle East conflict, potentially involving the U.S., was less likely. As of 06:35 ET, Brent crude was down 6% to $71.11 per barrel, while U.S. WTI dropped 6.3% to $67.27 per barrel.

Tech Earnings on the Horizon
Nasdaq’s recent record intraday high reflects investor confidence ahead of pivotal tech earnings this week, with five of Wall Street’s largest tech firms—Alphabet, Meta Platforms, Microsoft, Apple, and Amazon—scheduled to report. Their earnings, especially with substantial AI-related investments, are expected to offer insights into the broader market’s performance and the durability of the AI trade.

Economic Data Slate Led by Payrolls Report
In addition to corporate earnings, market participants are focused on Friday’s employment report, which is projected to show October job growth slowing to 111,000, influenced by strikes and weather-related disruptions. The unemployment rate is expected to hold at 4.1%. Other significant data includes Tuesday’s JOLTS report, Thursday’s jobless claims, third-quarter GDP on Wednesday, and Thursday’s personal income and spending report with the Fed’s core PCE inflation measure.

Election Approaches as Trump Gains Momentum
With voting set for November 5, national and swing state polling shows a tight race between Republican candidate Donald Trump and Democratic Vice President Kamala Harris. However, Trump has recently gained ground in prediction markets, signaling increased election interest and potentially influencing market sentiment as election day nears.