U.S. stock index futures trimmed early losses on Sunday evening after Iran reported progress in weekend peace talks held in Switzerland, but remained in negative territory. S&P 500 Futures fell 0.4% to 7,539.25 points, Nasdaq 100 Futures dropped 0.4% to 30,592.0 points, and Dow Jones Futures declined 0.3% to 51,848.0 points.
Conflicting signals on Iran talks
Futures had initially tumbled on fears of heightened tensions after President Donald Trump threatened more strikes against Iran despite ongoing peace negotiations. Iran's Foreign Minister Abbas Aragchi touted "major progress" in talks held in Switzerland, especially toward ending the Lebanon war. Pakistani and Qatari mediators also flagged "encouraging progress" and said both sides committed to more technical discussions.
Trump's comments came even as U.S. and Iranian officials held talks over a framework deal. Iranian media reported that the country's delegation left the venue after Trump's latest threats, though messages continued through mediators. The U.S. and Iran agreed to a 14-point memorandum of understanding last week to end their war and reopen the Strait of Hormuz, but Lebanon's inclusion in the ceasefire remained a sticking point. Reports showed Tehran had closed the Strait of Hormuz again after briefly allowing traffic.
Wall Street upbeat on tech, data ahead
Wall Street closed higher on Thursday, with the S&P 500 rising 0.55%, the NASDAQ Composite gaining 1.9%, and the Dow Jones Industrial Average adding 0.1%. Chipmaking stocks rallied amid continued optimism over artificial intelligence. Markets were closed Friday for the Juneteenth holiday.
This week, investors will focus on purchasing managers index data for May, a revised first-quarter GDP print, and the PCE price index for May — the Federal Reserve's preferred inflation gauge — due later in the week.