U.S. stock futures experienced a slight decline on Thursday evening as investors assessed rising tensions between the United States and Iran, while also preparing for the imminent release of the April jobs report. Specifically, futures connected to the S&P 500 and Nasdaq 100 fell by 0.2%, while Dow futures dipped approximately 0.1%.
In the commodities market, crude oil prices surged significantly during after-hours trading, largely influenced by reports of military clashes near the strategically important Strait of Hormuz. The U.S. benchmark West Texas Intermediate crude saw an increase of nearly 2% amid escalating accusations from both the U.S. and Iran of initiating attacks in the area.
In response to the military developments, President Trump took to Truth Social to reassure that U.S. destroyers remained unharmed, characterizing the military action against Iranian forces as limited. He also indicated that a ceasefire agreement was still in place.
As the focus shifts to the labor market data scheduled for release on Friday, investors are keenly awaiting details on April’s nonfarm payrolls and the unemployment rate. According to a survey conducted by Bloomberg, economists forecast a median growth of about 65,000 jobs, with the unemployment rate expected to hold steady at 4.3%.
Moreover, the market will be closely monitoring a wave of corporate earnings reports set to be released on Friday morning. Notable companies expected to announce their results include automotive giant Toyota Motor, technology leader Sony, and Brookfield Asset Management.
The developments in both geopolitical relations and economic indicators are set to create a volatile trading environment as investors position themselves ahead of these key events.
