July 28, 2021

Futures shed over 1per cent after US strike kills Iranian commander

1 min read

U.S. stock index futures shed over 1per cent on Friday after a U.S. air strike in Iraq killed a top Iranian commander, sharply escalating geopolitical tensions in the Middle East and denting risk appetite.

Traders work at the New York Stock Exchange
FILE PHOTO: Traders work at the New York Stock Exchange (NYSE) in New York, U.S., January 2, 2020. REUTERS/Bryan R Smith

REUTERS: U.S. stock index futures shed over 1per cent on Friday after a U.S. air strike in Iraq killed a top Iranian commander, sharply escalating geopolitical tensions in the Middle East and denting risk appetite.

Iran’s Supreme Leader Ayatollah Ali Khamenei vowed harsh revenge after Qassem Soleimani, head of Iran’s elite Quds Force, was killed in the air strike in Baghdad that was authorized by President Donald Trump.

At 5:50 a.m. ET, Dow e-minis were down 347 points, or 1.2per cent. S&P 500 e-minis were down 44 points, or 1.35per cent and Nasdaq 100 e-minis were down 139.75 points, or 1.57per cent.

The news sent prices of perceived safe haven assets soaring, with gold up 1.3per cent.

Shares of oil majors Exxon Mobil Corp and Chevron Corp rose 1.3per cent and 1.2per cent, respectively, in early premarket trading as oil prices jumped more than 4per cent.

Occidental Petroleum Corp and Schlumberger rose about 2per cent each, leading premarket gains among S&P 500-listed stocks.

(Reporting by Medha Singh in Bengaluru; Editing by Anil D’Silva)