June S&P 500 E-Mini futures (ESM26) are down -0.53%, and June Nasdaq 100 E-Mini futures (NQM26) are down -0.56% this morning as stalled U.S.-Iran talks and heightened tensions in the Strait of Hormuz pushed oil prices higher, dampening risk sentiment.
The U.S. continued its blockade of Iranian-linked vessels, while Iran on Wednesday attacked three ships in the Strait of Hormuz and escorted two of them into Iranian waters. However, White House press secretary Karoline Leavitt said the attacks did not amount to a breach of the ceasefire. Meanwhile, The Wall Street Journal reported that mediators are pushing for potential peace talks between the U.S. and Iran as soon as this Friday, though little progress has been made so far. The price of WTI crude rose over +1% on Thursday. The 10-year T-note yield rose two basis points to 4.33% as higher oil prices stoked inflation concerns.
