22.06.202600:16:33UTC+00US Futures Decline on US-Iran Tensions

US stock futures fell on Monday as tensions escalated on the first day of talks between the United States and Iran, sending oil prices higher. President Donald Trump threatened new strikes if Hezbollah continues its attacks on Israel and warned Tehran against again attempting to close the Strait of Hormuz. Iranian media subsequently reported that Tehran had suspended the negotiations in response to Trump’s comments, though sources familiar with the talks said discussions were still underway. Investors also focused on this week’s release of the US PCE price index, the Federal Reserve’s preferred inflation gauge. Last week, the Fed kept interest rates unchanged but adopted a more hawkish tone, with nearly half of FOMC members now projecting at least one rate hike before year-end. Nonetheless, US equities advanced over the week, led by the tech-heavy Nasdaq Composite, which gained 2.43%, while the S&P 500 rose 0.93% and the Dow added 0.71%.