Nasdaq futures indicated a lower opening on Tuesday, with technology shares at the forefront of the declines. Concurrently, Treasury yields experienced an upward trend as stagnation in discussions regarding the reopening of the Strait of Hormuz heightened concerns over persistently elevated oil prices. Futures for the Nasdaq 100 and S&P 500 indicated declines of 1.2% and 0.5%, respectively, whereas the Dow Jones Industrial Average showed minimal movement. Yesterday, the blue-chip Dow, benchmark S&P 500, and tech-focused Nasdaq Composite closed lower to begin the trading week as oil prices rose amid pessimism regarding the likelihood of a deal between the U.S. and Iran to reopen the Strait of Hormuz being reached soon.

Crude oil futures exhibited minimal fluctuations early Tuesday, despite reports from the UK Maritime Trade Operations indicating that a vessel was struck by an unidentified projectile while attempting to navigate the Strait of Hormuz, leading to a casualty among the crew. WTI futures, the U.S. benchmark, increased by 0.5% to approximately $85 per barrel, whereas Brent futures, the international benchmark, experienced a slight decline to $90.85. Bond yields, which have increased in tandem with oil prices due to inflation concerns, maintained their upward trajectory on Tuesday. The 10-year Treasury yield, a key determinant of interest rates across various consumer loans such as mortgages, was recently observed at approximately 4.74%, reflecting an increase of one basis point from the previous day’s close. Earlier Tuesday, it reached 4.75%, aligning with the intraday yield of July 31—its peak since January 2025. Meanwhile, the 30-year yield reached 5.33%, marking its highest level since 2007.

Despite memory stocks having outperformed broader indexes yesterday, they were experiencing a significant decline prior to the opening bell on Tuesday. The Roundhill Memory ETF, which rose more than 5% Monday, was down 6% before the bell as components Sandisk, Western Digital, SK Hynix, Micron Technology, and Seagate Technology sold off roughly 5% to 7%. The broader iShares Semiconductor ETF was down 3.5%, pulled lower by declines of up to 5% from components Intel, Advanced Micro Devices, and Applied Materials. Shares of the Magnificent Seven mega-cap tech firms were predominantly lower in premarket trading following a decline for each in yesterday’s session. Meta Platforms and Microsoft, which led the septet lower Monday with respective declines of about 3.5% and 3%, slipped a further 1% and rose less than 1%, respectively, before the bell.

In the aftermath of earnings announcements, Home Depot experienced an increase of 2%, while Amer Sports saw a rise of over 1%. Conversely, U.S.-listed shares of the Chinese technology company Baidu declined by 5%. The U.S. dollar index, which monitors the value of the greenback relative to a selection of foreign currencies, remained relatively stable at 99.64. Bitcoin traded at approximately $64,100, reflecting a modest decline over the preceding 24 hours. Gold futures declined by 0.4%, settling at $4,455 per ounce.