Nasdaq futures indicated a downward trajectory on Thursday, coinciding with a surge in oil prices following recent developments in the Middle East, as global benchmark Brent crude futures approached $115 per barrel. Futures for the Nasdaq 100, S&P 500, and Dow Jones Industrial Average experienced declines of 0.3%, 0.2%, and 0.2%, respectively, in the latest trading session. The three major U.S. stock indexes experienced a significant decline yesterday following remarks from Federal Reserve Chair Jerome Powell, who cautioned that rising oil prices “can cause trouble for inflation expectations” after the central bank opted to maintain interest rates at their current levels.

The Federal Reserve, adhering to expectations, maintained interest rates at 3.50% to 3.75% on Wednesday, reflecting the prevailing uncertainty stemming from the Iran war. Powell indicated that the effects stemming from the Middle East conflict remain “uncertain,” and cautioned about the potential for “an energy shock of some size and duration.” He stated his intention to remain in the position of chair until a successor has been officially confirmed. Brent crude futures, the global benchmark, recently increased by over 6% to approach $115 a barrel, while natural gas prices experienced a surge of 3.5% following Qatar’s announcement regarding significant damage to a large liquefied natural gas facility in Iran. Brent futures surpassed $119 a barrel earlier Thursday, marking their highest closing level since July 2022.

West Texas Intermediate crude futures, the U.S. oil-price benchmark, experienced an increase of 1%, reaching $97.50 per barrel. The yield on the 10-year Treasury note, which influences interest rates across various consumer loans, stood at 4.29%, an increase from yesterday’s close of over 4.26%. Gold futures experienced a notable decline, decreasing nearly 4% to approximately $4,700 per ounce, while silver saw a sharper drop of 7.5%, falling below $72 per ounce. The U.S. Dollar Index, which monitors the value of the greenback relative to a selection of currencies, remained relatively stable at 100.06. Bitcoin was trading at approximately $70,400, a decline from the overnight peak of about $71,600.

Shares of the Magnificent Seven tech giants exhibited a mixed performance in premarket trading following a decline across the board yesterday, with Amazon experiencing a notable 2.5% decrease in its stock price. Micron Technology shares were down nearly 5% before the bell after reaching an all-time high yesterday in anticipation of its quarterly report. In other post-earnings movements, shares of Alibaba Group experienced a decline of 5%, Accenture saw a decrease of 3.5%, while Five Below recorded an increase of 7%. Shares of FedEx were little changed ahead of its scheduled results announcement after markets close.