US stock futures surged early Monday after reports that the United States and Iran agreed to pause military strikes over the weekend, triggering a sharp selloff in crude oil prices. The military pause eased geopolitical tensions and sent Nasdaq futures up 1.5%, while Dow and S&P 500 futures rose 0.9%. Wall Street now turns its focus to a packed week featuring the Federal Reserve's July policy decision, second-quarter GDP data, and earnings reports from four Magnificent Seven companies: Apple, Amazon, Microsoft, and Meta.
As of 4:00 a.m. ET, Russell 2000 futures were up 1.2%. Nearly one-third of S&P 500 companies are scheduled to report earnings this week, with investors also watching for the Fed's preferred inflation gauge, the PCE price index. On Stocktwits, retail sentiment for the SPDR S&P 500 ETF (SPY) remained 'extremely bearish,' while the Invesco QQQ Trust (QQQ) moved to 'bearish' from 'extremely bearish' last week.
Nvidia Announces $250B OpenAI Financing Backstop and $500B SK Group Partnership
Nvidia rose 1% in early premarket trade after reports revealed it is in talks to provide a $250 billion financing backstop for OpenAI's 10-gigawatt Ohio data center project. The company also announced a $500 billion partnership with SK Group, a $1 billion investment in South Korea's Naver, and the rollout of its first U.S.-made GB300 chips from TSMC's Arizona fab. China's Moonshot AI is reportedly preparing to open-source its Kimi K3 model, renewing debate over whether Chinese AI developers are closing the gap with OpenAI and Anthropic.
Oracle Shares Rise 3% in Premarket on Nvidia-OpenAI Development
Oracle Corp. shares saw a 3% relief rally in early premarket trade on Nvidia's reported $250 billion OpenAI backstop. Since OpenAI is one of Oracle's largest cloud customers, traders viewed the development as a potential boost to Oracle's long-term AI infrastructure business.
Alphabet Confirms Memory Chip Price Hikes for Pixel 11 Series
Alphabet is in focus after a top executive confirmed memory chip price hikes (up sixfold) will force higher pricing for the upcoming Pixel 11 series.
SpaceX Faces Lockup Expiration Pressure Ahead of Earnings
SpaceX shares were muted in early premarket trade ahead of its Aug. 4 earnings report. Morningstar warned that upcoming post-IPO lockup expirations (Aug 6) could create selling pressure while simultaneously boosting the stock's float-adjusted weight inside the QQQ ETF.
Outlook Therapeutics Receives FDA Approval for Wet AMD Drug
Outlook Therapeutics shares rose 7% in early premarket trade following FDA approval of Lytenava for wet age-related macular degeneration (wet AMD), with analysts forecasting up to 290% upside.
Oil Stocks in Focus as Crude Prices Fall Over 6%
Oil stocks (USO, BATL, TPET, XOM, CVX, OXY) remained in focus as crude oil prices fell over 6% following the U.S.-Iran military pause. Other tickers trending on Stocktwits at the time of writing included Rigetti Computing (RGTI), Venture Global (VG), and Capricor Therapeutics (CAPR).
On the economic front, investors will be watching for the release of durable goods orders and the Dallas Fed manufacturing survey. On the earnings front, Dyne Therapeutics (DYNE), Applied Digital (APLD), and Navitas Semiconductor (NVTS) are among those reporting today.
FAQ
What triggered the surge in US stock futures early Monday?
US stock futures surged after reports that the United States and Iran agreed to pause military strikes over the weekend, triggering a sharp selloff in crude oil prices and easing geopolitical tensions.
Why did Oracle shares rise 3% in premarket trading?
Oracle shares rose 3% following reports that Nvidia is in talks to provide a $250 billion financing backstop for OpenAI's Ohio data center project. Since OpenAI is one of Oracle's largest cloud customers, traders viewed the development as a potential boost to Oracle's long-term AI infrastructure business.
What did the FDA approve for Outlook Therapeutics?
The FDA approved Lytenava for wet age-related macular degeneration (wet AMD), with analysts forecasting up to 290% upside for Outlook Therapeutics shares following the approval.
