United States stock futures were trading marginally higher on Thursday night (Friday AEDT) as investors turned focus toward the release of key inflation data, while a continued surge in oil prices linked to the Iran conflict weighed on sentiment.
By 9:45 am AEDT (10:45 pm GMT), Dow futures, S&P 500 futures, and Nasdaq 100 futures each added 0.2%.
In extended trading, Ulta Beauty fell 8.2% after the cosmetics retailer reported weaker-than-expected quarterly earnings. For its fourth quarter, the company posted earnings per share (EPS) of $8.01 versus $8.10 expected, while revenue came in at $3.90 billion, exceeding expectations of $3.84 billion.
Adobe shares dropped 7.3% after the company announced that chief executive Shantanu Narayen will step down once a successor is appointed.
Narayen, who has led the software company since 2007, will remain as chair of the board. The leadership news overshadowed the company’s first-quarter results, which surpassed analyst estimates on both revenue and earnings.
The cautious tone followed a sharp sell-off during Thursday’s regular session, when all three major U.S. indices posted their lowest closes of 2026.
The Dow Jones Industrial Average fell nearly 740 points to close below the 47,000 level for the first time this year, while the S&P 500 declined 1.5%.
The market pressure coincided with a sharp rally in oil prices after Iran’s new Supreme Leader, Mojtaba Khamenei, said the Strait of Hormuz should remain closed as a “tool to pressure the enemy”.
West Texas Intermediate crude futures climbed 9.72% to settle at $95.73 per barrel. Brent crude futures rose 9.22% to close at $100.46 per barrel, marking the benchmark’s first settlement above $100 since August 2022.
The surge in energy prices has raised concerns about renewed inflationary pressures, which in turn has dampened expectations that the Federal Reserve could begin cutting interest rates later this year.
Investors are now focused on the release of the personal consumption expenditures (PCE) price index due on Friday morning. The report is the Federal Reserve’s preferred gauge of inflation and is closely watched for signals on the trajectory of monetary policy.
Markets expect the headline PCE index to have increased 0.3% on a month-to-month basis and 2.9% over the past year.
Core PCE, which excludes volatile food and energy prices, is forecast to rise 0.4% for the month and 3.1% compared with the same period a year earlier.
