U.S. equity futures moved higher on Thursday evening even though major indexes finished the regular session lower. By 20:41 ET (00:41 GMT), S&P 500 Futures were up 0.2% at 7,160.0, Nasdaq 100 Futures rose 0.7% to 27,133.75, and Dow Jones Futures were largely unchanged at 49,486.0.
The uptick in futures followed comments from President Donald Trump announcing that Israel and Lebanon had agreed to extend their ceasefire for an additional three weeks. In a written comment, Trump stated:
"The United States is going to work with Lebanon in order to help it protect itself from Hezbollah,"
Earlier in the day, U.S. stocks retreated from recent highs as rising energy costs weighed on sentiment across the market. The NASDAQ Composite led the declines, dropping nearly 1%. Both the S&P 500 and the Dow Jones Industrial Average fell 0.4%.
Oil moved higher, passing the $100 per barrel mark as tensions tied to the Strait of Hormuz persisted. Reports of ship seizures and ongoing military activity in the region highlighted continued fragility in the broader ceasefire environment and supported the elevated oil price levels.
Market strategists noted the growing pressure from higher energy and rates, while also pointing to the market's willingness to give diplomatic negotiations time. In a note cited by market watchers, ING analysts said: "At some point, financial markets will not let the drift higher in energy prices and rates go unnoticed. But with the S&P 500 still hugging record highs, markets are still at ease to give the negotiations more time."
Corporate earnings remained a focal point for investors. Intel Corporation shares surged more than 20% in extended trading after reporting first-quarter results that beat expectations. The company attributed its outperformance to strong demand for data centre processors and workloads linked to artificial intelligence, which have become a key sales driver for the chipmaker.
Intel also issued a robust outlook, forecasting second-quarter revenue between $13.8 billion and $14.8 billion, a range that came in ahead of analyst estimates and contributed to the stock's after-hours jump.
Looking ahead, investors were preparing for another wave of reports before Friday’s opening bell. Companies scheduled to release results include Procter & Gamble, Norfolk Southern, Charter Communications and SLB, keeping attention on corporate performance and whether recent trends in earnings will continue.
Key points
- Futures rose after President Trump announced a three-week extension of the Israel-Lebanon ceasefire, with S&P 500 Futures up 0.2%, Nasdaq 100 Futures up 0.7%, and Dow Futures largely flat.
- Energy markets remain under pressure as oil climbed above $100 per barrel amid reports of ship seizures and military activity around the Strait of Hormuz.
- Intel led post-close movers with shares jumping over 20% after beating Q1 expectations and issuing a strong Q2 revenue outlook.
Risks and uncertainties
- Persistently higher energy prices could further weigh on equities, particularly sectors sensitive to oil costs.
- Continued military activity and shipping disruptions near the Strait of Hormuz introduce ongoing geopolitical risk that may affect oil markets and global trade.
- Earnings outcomes in the next round of reports, including from Procter & Gamble, Norfolk Southern, Charter Communications and SLB, could add volatility depending on whether results meet or miss expectations.