US stock futures slipped on Monday, April 20, signaling a cautious start to the week as a sharp escalation in US‑Iran tensions rattled investor sentiment. Dow Jones Industrial Average futures fell as much as 258 points (about 0.5%), later trimming losses to roughly 0.4%. Futures tied to the S&P 500 and Nasdaq 100 also declined about 0.4%–0.5%, indicating broad weakness across benchmarks.
The risk‑off mood followed a chaotic geopolitical turn: President Donald Trump said US forces had fired on and seized an Iranian‑flagged cargo ship in the Gulf of Oman, saying the vessel was under US Treasury sanctions and is now in “full custody.” The move came after Iran declined to participate in another round of US‑led peace talks in Pakistan. Reports also said Iran fired at vessels and halted traffic through the Strait of Hormuz, accusing the US of violating ceasefire terms. Trump warned of possible strikes on Iranian infrastructure if a deal is not reached; the current ceasefire is set to expire this week.
Markets reacted swiftly. Oil surged—US West Texas Intermediate rose roughly 5.7%–6% to trade above $87–$88 a barrel, while Brent approached $95—reviving inflation concerns even as equities trade near record highs. Last week the S&P 500 climbed about 4.5% and the Nasdaq rose about 7.2%, the latter marking a 13‑session winning streak not seen since 1992.
Investors are also bracing for a heavy earnings week, with Tesla, Intel and United Airlines among major companies scheduled to report.
