U.S. Stock Futures Rebound Slightly, Middle East Tensions Boost Oil Prices, AI Sector Supports Tech Stock Rally

BlockBeats News, July 9th: The three major U.S. stock index futures rose slightly in pre-market trading. S&P 500 futures were up 0.2%, Nasdaq 100 futures rose 0.61%, and Dow futures were basically flat. With the backdrop of escalating U.S.-Iran tensions and rising international oil prices, the market is betting on tech stocks to lead a rebound in U.S. stocks. Most major European stock indexes rose, with Japan's Nikkei 225 Index closing up 1.4%, South Korea's KOSPI up 0.62%, China's CSI 300 Index up 2.5%, and Hong Kong's Hang Seng Index edging lower.

On the news front, the U.S. announced a new round of strikes against Iran in response to a shipping incident near the Strait of Hormuz. WTI crude oil futures briefly rose by nearly 1%. U.S. President Trump had previously stated that the U.S.-Iran ceasefire "is over" and indicated that he may no longer be willing to negotiate with Iran. The market is concerned about the continued supply risk in the Strait of Hormuz, which will further elevate global energy prices and geopolitical risk premiums.

On the institutional side, Wells Fargo Investment Institute stated that in the event of a further escalation in the Middle East situation and against the backdrop of low global crude oil inventories, oil prices may continue to maintain a high risk premium. However, corporate earnings growth and the AI investment frenzy are expected to continue supporting U.S. stocks, with the S&P 500 Index expected to rise to the 7800 to 8000 point range by the end of the year. The market will also focus today on U.S. initial jobless claims data, existing home sales data, and PepsiCo's earnings report.