U.S. equity futures were slightly lower on Wednesday as Treasury yields and oil prices inched higher amid fresh uncertainty around the war between the U.S. and Iran. S&P 500 futures dropped 0.1%, while Nasdaq-100 futures dipped 0.2%. Futures tied to the Dow Jones Industrial Average were down 111 points, or 0.2%. Futures tied to the major averages had reversed course from earlier gains after Brent crude oil futures moved up as well. Brent futures for November delivery were last seen trading 1% higher at around $100 a barrel, while U.S. West Texas Intermediate futures were up marginally at around $90 per barrel. President Donald Trump said Tuesday that U.S. and Iranian officials met for three hours during the annual United Nations General Assembly gathering in New York. He described it as a “very good meeting.” Earlier Tuesday in his address to the U.N., Trump said he has a “big decision” over whether to reach a deal with Tehran or “annihilate” the country. In Tuesday’s session, the Dow fell 0.4%, and the Nasdaq Composite gained 0.5%, marking its fourth positive session in a row. The tech-heavy index hit a new all-time intraday high and closed at a record. The S&P 500 finished marginally lower but remains about 0.7% off from its all-time high. Brett Ewing, chief market strategist at First Franklin Financial Services, told CNBC he thought the S&P 500 could hit 8,200 before the year is through. “Our call at the beginning of the year was 8,000 on the S&P. We raised our target, believe it or not, in August to 8,200 by year-end,” he said. Treasury Secretary Scott Bessent said Tuesday that the U.S. is deciding whether to prohibit exports of diesel, which reached a national average price of $6.53 per gallon, according to AAA. “We’re examining whether it’s feasible in terms of the overall refining capacity and whether a full or partial ban would work,” Bessent said during a bilateral meeting between Trump and Ukrainian President Volodymyr Zelenskyy at the United Nations. Going into Wednesday, traders will be watching earnings results from General Mills, Paychex, and H.B. Fuller. U.S. Treasury yields were relatively unchanged on Wednesday as oil prices fluctuated. The yield on the benchmark 10-year Treasury was up more than 2 basis points at 4.99%. The 2-year Treasury yield rose more than 1 basis point to 4.789%, while the 30-year Treasury yield gained more than 2 basis points to 5.324%. In Asia-Pacific, South Korea’s Kospi rose 0.9%, while Australia’s benchmark S&P/ASX 200 inched higher. Mainland China’s CSI 300 closed 0.6% lower. Japan’s markets were closed for a holiday. Gold prices declined on Wednesday, weighed down by a stronger dollar, as investors remained focused on concerns over inflation and expectations for further Federal Reserve interest rate increases. Spot gold had fallen by 1.3% to $4,301.65 an ounce, while gold futures had dropped by 0.9% to $4,338.40 an ounce. Meanwhile, the U.S. dollar index, which tracks the currency against a basket of global peers, rose 0.4% to 100.95—touching its highest level since July 30. A stronger dollar makes gold more expensive for overseas buyers.
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