Market Overview

At 02:08 ET (06:08 GMT) U.S. equity futures showed mixed movement in Asian trading. The S&P 500 futures edged up 0.1% to 7,680.25 points, while Nasdaq 100 futures rose 0.5% to 29,237.00 points. Dow Jones futures were essentially flat at 53,492.0 points. Earlier in the session futures had been in negative territory, reflecting weakness in chip stocks and caution ahead of Nvidia’s earnings release.

Regular Session Performance

During the regular U.S. trading session the Dow Jones Industrial Average advanced 0.3%, the S&P 500 fell 0.3%, and the Nasdaq Composite declined 0.8%. Nvidia (NASDAQ:NVDA) shares dropped 2.9% following the broader semiconductor weakness. Other semiconductor issuers, including Micron Technology (NASDAQ:MU) and Broadcom (NASDAQ:AVGO), also posted declines, contributing to the pressure on the technology‑heavy indexes.

Treasury and Fiscal Measures

Treasury Secretary Scott Bessent warned on Monday that countries doing business with Tehran could face secondary sanctions, describing the administration’s approach as an “economic D‑Day” against Iran. In parallel, reports indicated the Treasury could draw on its nearly $1 trillion Treasury General Account to fund expanded government bond buybacks. The plan is to double quarterly buybacks of 10‑ to 30‑year securities to $4 billion per operation starting 10 September.

Bond Market Reaction

Bond yields were pressured lower after the Treasury buyback signal. The 10‑year Treasury yield traded flat around 4.70%, while the 30‑year yield eased to roughly 5.23% after having reached multi‑year highs the previous week.

Commodity and Energy Prices

Oil prices retreated on Tuesday following a more than 2% decline on Monday, providing some relief to bond markets. Brent crude traded below $92 a barrel as investors evaluated the impact of the new U.S. measures on energy markets.

Upcoming Economic Data and Events

Investors are awaiting the July personal consumption expenditures (PCE) inflation data later this week, a key gauge for the Federal Reserve’s policy stance. The annual Jackson Hole symposium begins Thursday, with Fed Chair Kevin Warsh scheduled to speak on Friday, potentially offering further clues on the future path of interest rates.

Nvidia Earnings Outlook

The primary focus remains on Nvidia, which is slated to report its second‑quarter fiscal 2027 results after the Wednesday closing bell. Market participants will scrutinize the chipmaker’s outlook for signs that the massive spending on artificial‑intelligence infrastructure remains justified.