US and Iran flags with soldiers ©Adobe Stock Images U.S. stock futures moved sharply lower on Wednesday after President Donald Trump said the interim peace framework with Iran had effectively collapsed, adding fresh geopolitical uncertainty to already fragile market sentiment. By 09:03 GMT, Dow Jones futures had fallen 680 points, or 1.3%, while S&P 500 futures were down 71 points, or 0.9%. Nasdaq 100 futures also weakened, dropping 381 points, or 1.3%. Trump Questions Iran Agreement Speaking during the NATO summit in Turkey, Trump accused Iran of breaching the temporary agreement that had eased tensions in recent weeks. “We make a deal, and everyone’s agreed. No nuclear weapons. We make a deal. They go outside, talk to the press, they say we never even talked about it. There’s something wrong with them. They’re cuckoo. As far as I’m concerned, it’s over,” Trump said. His remarks added to existing market concerns after Iranian military officials said they had targeted U.S. military installations in Kuwait and Bahrain in response to recent American strikes inside Iran and Washington’s decision to withdraw a sanctions waiver covering Iranian oil exports. Oil Rally Revives Inflation Concerns The renewed escalation in the Middle East sent crude oil prices sharply higher during Asian trading, reviving fears that higher energy costs could complicate the U.S. inflation outlook and influence the Federal Reserve’s monetary policy decisions. Investors are now awaiting the release of the Federal Reserve’s June meeting minutes, due later on Wednesday, for further insight into how policymakers are balancing resilient economic growth against persistent inflation pressures. Markets will be watching closely for any indication that recent economic data or geopolitical developments have influenced expectations for future interest rate decisions. Technology Stocks Remain Under Pressure Wall Street closed lower on Tuesday as investors continued to reduce exposure to growth stocks. Technology shares were among the weakest performers after Samsung Electronics’ (USOTC:SSNHZ) earnings report, although ahead of expectations, failed to ease concerns over demand linked to artificial intelligence and pricing in the memory chip market, weighing on the broader semiconductor sector. The S&P 500 ended Tuesday down 0.5%, the Nasdaq Composite declined 1.2%, and the Dow Jones Industrial Average slipped 0.3%. Investors also remain focused on the upcoming second-quarter earnings season, with major corporate results due to begin later this week. Samsung stock price
