Pre-Market Alert: U.S. Futures Decline on Hormuz Security Concerns and PCE Inflation Risks
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U.S. stock index futures declined pre-market as panic sentiment returned, with Dow, S&P 500, and Nasdaq futures falling. Crude oil prices rebounded over 2% to above $94/barrel due to a Strait of Hormuz blockage, reversing prior losses. The crypto market broadly declined, with Bitcoin and Ethereum experiencing notable drops. Meta and CoreWeave announced a $21 billion AI infrastructure expansion, and Meta launched its first AI model, Muse Spark. Bank of America projects the semiconductor market to reach $2 trillion by 2030, driven by AI chips and memory segments. Goldman Sachs warned Brent crude could exceed $100/barrel if the Strait of Hormuz blockade persists.
Market Movements
Panic sentiment returns, three major stock index futures decline across the board
TradingKey - Before the U.S. stock market opened on Thursday, the VIX volatility index rose slightly, and the three major U.S. stock index futures dived collectively. Specifically, Dow futures fell 0.31% to 47,762 points; S&P 500 futures dropped 0.24% to 6,766 points; and Nasdaq futures declined 0.19%, currently at 24,856 points.
In U.S. pre-market trading, technology stocks fell broadly. Intel ( INTC) dropped over 2.3%, NVIDIA ( NVDA) fell nearly 0.5%; Micron Technology ( MU) fell nearly 2%, SanDisk ( SNDK) rose 2.72%; CoreWeave ( CRWV) rose nearly 3%; Meta ( META) rose nearly 2%.
Strait of Hormuz blockage halts oil price decline, triggering a rebound
Iran's de facto blockade of the Strait of Hormuz triggered a rebound in crude oil prices. Specifically, WTI crude oil ( USOIL) price rebounded by more than 2%, breaking above $94/barrel and currently at $94.26. Yesterday, the U.S.-Iran ceasefire agreement caused WTI crude oil to plunge over 17%, reaching a low near $87/barrel, a new low in nearly two weeks.
WTI crude oil price chart, Source: TradingView
The crypto market declined broadly as Bitcoin retreated from its highs
Tensions in the Middle East have escalated again, causing a collective decline in the crypto market. Bitcoin ( BTC) fell 0.7%, once approaching the $70,000 mark; Ethereum ( ETH) plunged over 3%, falling below the $2,200 level; Ripple ( XRP) fell over 3%, currently at $1.3; Binance Coin ( BNB) fell 1.7%, dropping back near the $600 threshold.
Market Highlights
CoreWeave and Meta Announce $21 Billion AI Infrastructure Expansion Agreement
Cloud computing provider CoreWeave announced an upgraded long-term partnership agreement with Meta, which will provide Meta with approximately $21 billion in AI cloud computing support through December 2032. Under the agreement, CoreWeave will deploy dedicated computing clusters globally, including early adoption of Nvidia's latest Vera Rubin platform.
Meta Launches Its First AI Model
Meta's Super Intelligence Lab launched its first AI model, Muse Spark, which represents a milestone achievement in the lab's deep commitment to the field of artificial intelligence.
Bank of America Semiconductor Industry Outlook
A recent research report from Bank of America indicates that, driven by both AI computing chips (with forward valuations of 15-20x for companies like Nvidia, Broadcom, and Marvell Technology) and the memory/logic chip segments, the global semiconductor market is expected to expand at a compound annual growth rate (CAGR) of 20%, with the total market size likely surpassing $2 trillion by 2030.
STAAR Surgical First Quarter Sales Projected to Double
STAAR Surgical, a global leader in refractive intraocular lenses ( STAA ), saw its pre-market share price surge over 20%. Preliminary results for the first quarter of 2026 disclosed by the company show that net sales are expected to exceed $90 million, doubling from $42.6 million in the same period of 2025.
NIO's New Flagship SUV ES9 Officially Launches Tonight
NIO ( NIO) shares rose 2.8% in pre-market trading, as the first batch of display vehicles for its new flagship large SUV, the ES9, has arrived at showrooms nationwide for public viewing. This highly anticipated new vehicle will be officially unveiled at a product and technology launch event tonight.
Goldman Sachs Issues Latest Oil Price Warning
Goldman Sachs stated that if the blockade of the Strait of Hormuz lasts for one month, the annual average price of Brent crude will exceed $100 per barrel. Current geopolitical tensions have led to significant upside risks for oil prices, and the market should closely monitor developments in the Middle East.
Key Data/Events Preview
Core PCE Price Index
Initial Jobless Claims
Fed Balance Sheet
Gross Domestic Product (GDP)
30-Year Treasury Bond Auction
This content was translated using AI and reviewed for clarity. It is for informational purposes only.
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