United States equity futures moved lower on Sunday evening (Monday AEDT), signalling a cautious start to a holiday-shortened trading week as investors continued to grapple with geopolitical tensions and a recent sell-off across major indices.
By 10:40 am AEDT (11:40 pm GMT), futures tied to the Dow Jones Industrial Average and the S&P 500 were both down 0.6%, while Nasdaq 100 futures declined 0.7%.
The subdued outlook follows a sharp decline among major benchmarks on Friday, where all three major benchmarks posted significant losses.
The Dow Jones Industrial Average fell 1.7%, pushing the index into correction territory. The S&P 500 dropped 1.67% to a seven-month low, while the Nasdaq Composite slid 2.2%, extending its recent pullback after already entering a correction.
Market sentiment has remained fragile as the conflict in Iran enters its fifth week, with investors increasingly concerned that the economic consequences may be more prolonged than initially anticipated.
Hopes for a swift resolution have faded, contributing to heightened volatility across global markets.
Trading conditions this week will be affected by the upcoming Good Friday, with U.S. markets set to close on Friday.
Despite the market holiday, the closely watched March nonfarm payrolls report will still be released that day, potentially shaping expectations for monetary policy and economic momentum.
Investors will also be monitoring key labour market indicators, including the Job Openings and Labor Turnover Survey (JOLTS) and the ADP Employment Survey, both of which are expected to provide further insight into the strength of the U.S. jobs market.
On the corporate front, attention will turn to upcoming earnings releases from major consumer-facing companies. Nike is scheduled to report, alongside McCormick & Company and Conagra Brands, offering a read-through on consumer demand trends amid rising cost pressures.
