U.S. stock futures declined early Thursday, with Nasdaq futures down 0.5%, S&P 500 futures down 0.1%, and Dow futures flat as of 4:00 a.m. ET, as investors monitored escalating geopolitical tensions and semiconductor sector weakness. The declines followed a fifth straight day of U.S. military strikes on Iran, with Tehran threatening retaliation and raising concerns over potential disruptions to global energy supplies. The pressure on futures came despite encouraging inflation signals and strong bank earnings reported in the previous session.
U.S. Stock Futures Decline Amid Iran Tensions and Chip Weakness
As of 4:00 a.m. ET, Nasdaq futures declined 0.5%, Russell 2000 futures were down 0.3%, S&P 500 futures fell 0.1%, and Dow futures were flat with a negative bias. Markets were digesting a fifth straight day of U.S. military strikes on Iran, with Tehran threatening retaliation. Investors monitored weakness in the chip sector and fresh economic data due today.
On Stocktwits, retail sentiment for the SPDR S&P 500 ETF (SPY), an exchange-traded fund that tracks the S&P 500 Index, and the Invesco QQQ Trust (QQQ), which tracks the Nasdaq-100 Index, has remained 'bullish'.
Michael Burry Questions Data-Center Boom as Trump Touts AI Infrastructure
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SK Hynix ADR Tumbles 11% in Seoul Trading
SK Hynix Inc ADR (SKHY) tumbled over 11% in Seoul, leading a broader Asian semiconductor rout. The newly listed ADR remains volatile.
Eli Lilly Negotiates Premium Buyout of Atai Life Sciences
Atai Life Sciences Inc. (ATAI) shares surged 43% in early premarket trade following reports that Eli Lilly (LLY) is negotiating a premium buyout valued north of $2 billion to expand its neuroscience portfolio. Venture investors suggested a potential acquisition price between $9 and $11 per share. LLY shares were flat.
AST SpaceMobile Falls 12% on $1 Billion Convertible Note Offering
AST SpaceMobile Inc. (ASTS) shares fell 12% in early premarket trading after the company announced a $1 billion private offering of convertible senior notes. Management said the proceeds could fund acquisitions and further vertical integration.
Taiwan Semiconductor Formalizes $100 Billion U.S. Expansion Plan
Taiwan Semiconductor (TSM) posted blowout June-quarter earnings, driven by booming AI demand. The company formalized a $100 billion expansion plan to build four additional chip fabrication plants in the U.S.
ASML Holding Gains Momentum After Beating Q2 Expectations
ASML Holding (ASML) gained momentum after smashing Q2 expectations and hiking its full-year guidance. Retail traders called it the "ultimate hardware gatekeeper."
Nvidia Deepens Japan Partnerships
Nvidia Corp. (NVDA) trended on Stocktwits as it deepens its footprint in Japan, including partnerships with Mitsubishi Heavy Industries, Toyota and other enterprises.
Oil Stocks in Focus as Iran Vows Control Over Strait of Hormuz
Oil stocks (USO, BATL, TPET, XOM, CVX) remained in focus as crude supply chains braced for impact following Iran's vow to exert control over the vital Strait of Hormuz.
Netflix Garners Attention Ahead of Earnings Report
Netflix (NFLX) garnered retail attention ahead of its earnings report, with investors watching subscriber trends, advertising momentum and management's outlook.
Economic Data and Earnings Reports Scheduled for Today
Investors will be tracking the release of the U.S. initial jobless claims, retail sales, the Philadelphia Fed Manufacturing Index, and the pending home sales index.
On the earnings front, Abbott Laboratories (ABT), UnitedHealth (UNH), U.S. Bancorp (USB), State Street (STT), Citizens Financial (CFG), and Wipro (WIT) report before the bell. Netflix (NFLX), Intuitive Surgical (ISRG), Alcoa (AA), First National Bank (FNB), among others, report after market close today.
Other tickers trending on Stocktwits at the time of writing included Uber Technologies (UBER), Gorilla Technologies (GRRR), Transocean (RIG), Sandisk (SNDK) and Alibaba Group (BABA).
FAQ
What caused U.S. stock futures to decline early Thursday?
U.S. stock futures declined early Thursday due to escalating geopolitical tensions following a fifth straight day of U.S. military strikes on Iran, with Tehran threatening retaliation. Weakness in the semiconductor sector also contributed to the pressure on futures.
What are the details of Eli Lilly's reported buyout offer for Atai Life Sciences?
Eli Lilly is negotiating a premium buyout of Atai Life Sciences valued north of $2 billion to expand its neuroscience portfolio. Venture investors suggested a potential acquisition price between $9 and $11 per share. Following the reports, ATAI shares surged 43% in early premarket trade.
Why did AST SpaceMobile shares fall 12% in premarket trading?
AST SpaceMobile shares fell 12% in early premarket trading after the company announced a $1 billion private offering of convertible senior notes. Management stated the proceeds could fund acquisitions and further vertical integration.
