11.03.202612:47:40UTC+00US Futures Inch Lower

US equity futures edged lower on Wednesday, extending the modest pullback from the prior session as investors reacted to renewed gains in energy prices amid ongoing tit-for-tat strikes among forces in the Persian Gulf. Futures tied to the three main indices were down about 0.3%.

The latest escalation in the conflict involving Iran, GCC countries, and US-Israeli forces reinforced expectations that energy exports from the region will remain disrupted, driving another leg higher in petroleum prices and worsening the inflation outlook. That move pushed Treasury yields higher despite a February US CPI print that contained no upside surprises and despite the IEA’s call for G7 members to undertake an aggressive release of strategic oil reserves. Rising yields weighed on credit-sensitive equity sectors.

By contrast, AI-related stocks found support after Oracle delivered guidance that surpassed expectations, easing some concerns over potentially excessive datacenter spending by major AI players. Oracle shares were up about 10% in premarket trading.