Closing Recap

 U.S. stock futures have remarkably erased steep overnight losses and are now pointing to a slightly higher open, as markets attempt to digest news of U.S. airstrikes on Iranian nuclear facilities; oil prices have pared significant early gains, gold is down, and the dollar is firming amid heightened geopolitical tensions. 

Key Takeaways 

• Futures Rebound from Overnight Plunge: Equities indicate a modestly positive open after initially falling sharply on news of U.S. strikes in Iran. WTI crude spiked over 6% overnight before pulling back. 
• U.S. Strikes Iranian Nuclear Sites: President Trump announced U.S. B-2 bombers struck three key Iranian nuclear facilities (Fordow, Natanz, Isfahan) over the weekend, warning of “far greater” attacks if Iran doesn’t make peace. 
• Iran Vows Retaliation, Strait of Hormuz Watched: Iran has vowed retaliation, and its parliament reportedly approved a measure to potentially close the critical Strait of Hormuz, raising global supply disruption fears. 
• Oil Paring Gains, Gold Eases: After surging overnight, WTI crude has pulled back significantly but remains up. Gold is down slightly as the initial panic subsides. 
• Dollar Firms on Safe Haven: The U.S. dollar strengthened as a safe-haven currency amid the escalating Middle East tensions. 
• Focus on Powell Testimony & Fed Speak: Key events this week include Fed Chair Powell’s Congressional testimony and a heavy calendar of other Fed speakers. Earnings from FDX, MU, NKE also due. 
• Global Markets Mixed: Asian markets fell broadly on the Iran news, while European markets are attempting to stabilize. 

Market Overview

Global financial markets are grappling with a significant escalation in Middle East tensions as a new trading week begins. Over the weekend, U.S. B-2 bombers conducted strikes on three major Iranian nuclear facilities, an action President Trump announced Saturday night, stating it was a direct response and warning of further attacks if Iran does not seek peace. This direct U.S. military action against Iran, despite President Trump’s longstanding promises to avoid new conflicts, has dramatically heightened geopolitical risk. Iran has vowed retaliation, and reports suggest its parliament has approved measures to potentially close the Strait of Hormuz, a critical chokepoint for global oil and LNG supplies. 

Index (Futures)	Up/Down	% Change	Last
Dow	36	0.0008	42551
S&P 500	11.75	0.002	6029
Nasdaq	45.5	0.0021	21890

The initial market reaction overnight was a sharp flight to safety. WTI crude oil futures surged over 6% to as high as $78.40 per barrel on fears of major supply disruptions. However, as the Asian session progressed and European markets opened, oil prices have pared a substantial portion of those gains, though they remain elevated. Similarly, U.S. stock futures, which had plunged on Sunday night, have staged a remarkable recovery to trade near positive territory this morning, suggesting markets are attempting to take the news in stride, perhaps waiting to see the nature and extent of Iran’s response.

Last week saw relatively quiet trading in the U.S. as markets consolidated recent gains. Asian markets were broadly lower today reacting to the Iran strikes, while European markets are mixed. Investors are now bracing for a week that will be dominated by geopolitical headlines, alongside key testimonies from Federal Reserve Chair Jerome Powell before Congress, a heavy slate of other Fed speakers, and notable earnings reports from companies like FedEx, Micron, and Nike. Flash PMI data and Existing Home Sales are due later today.

Economic Calendar

Today’s U.S. economic calendar features flash PMI data and existing home sales. 

• 9:45 AM ET / 1:45 PM GMT: S&P Global Manufacturing PMI (June-Flash, est. 51.2) 
• 9:45 AM ET / 1:45 PM GMT: S&P Global Services PMI (June-Flash, est. 53.0) 
• 9:45 AM ET / 1:45 PM GMT: S&P Global Composite PMI (June-Flash) 
• 10:00 AM ET / 2:00 PM GMT: Existing Home Sales M/M for May (Est. 3.97M) 

Commodities, Currencies, and Treasuries

Crude oil prices remain elevated but have pulled back significantly from overnight highs. WTI is trading around $74.25/bbl (+0.41%) after earlier spiking above $78. The market is weighing the immediate risk of supply disruption against potential diplomatic efforts or strategic reserve releases. Gold prices are down slightly, around 3 , 383.00 / Oz (−0.27 1.1476), and the Australian dollar hit a one-month low. U.S. Treasury yields are slightly lower (10-year ~4.375%), reflecting some flight to safety, though the move is somewhat muted given the scale of the geopolitical news. Bitcoin rebounded above $101K after dipping below $98.5K over the weekend.

Asset	Up/Down	Unit / % Change	Last
WTI Crude	0.41	USD/bbl	74.25
Brent	0.44	USD/bbl	77.45
Gold	-2.7	USD/oz	3383
EUR/USD	-0.0043	USD	1.1476
USD/JPY	1.78	JPY	147.83
10-Year Note	-0.022	%	0.04375

Looking Ahead 

The market will be intensely focused on developments in the Middle East, particularly any signs of Iranian retaliation or further military action. President Trump’s statements and any diplomatic efforts will be critical. Today’s flash PMI and existing home sales data will offer insights into the U.S. economy’s resilience. Later this week, Fed Chair Powell’s Congressional testimony will be closely watched for his views on the economy, inflation, and potential policy responses to both domestic conditions and now heightened geopolitical risks. Earnings from FedEx, Micron, and Nike will also be key. Expect continued heightened volatility.