June S&P 500 E-Mini futures (ESM26) are down -0.40%, and June Nasdaq 100 E-Mini futures (NQM26) are down -0.55% this morning as oil prices and bond yields climbed, with investors watching to see whether hopes for a peace deal in the Middle East will turn into tangible progress.
Oil prices were volatile on Thursday, fluctuating between gains and losses as investors remained highly sensitive to Iran-related headlines. The price of WTI crude rose over +2% after Reuters reported that Iran’s Supreme Leader said the country’s uranium must stay within its borders. Earlier, the Iranian Students’ News Agency reported that Tehran is preparing a response to a text submitted by the U.S., which “has narrowed the gaps to some extent.” U.S. President Donald Trump said on Wednesday that talks with Iran were in the “final stages” but warned that the U.S. would have to get “a little bit nasty” if no agreement is reached. The 10-year T-note yield rose three basis points to 4.62% as higher oil prices fueled inflation concerns.
