U.S. stock index futures were sharply lower Monday morning, amid ongoing geopolitical tensions.
At around 1:30 a.m. ET, Dow futures dropped 125 points, indicating a lower open of more than 134 points. Futures on the S&P 500 and Nasdaq indexes were also lower.
The Dow, S&P and Nasdaq saw their worst trading day in a month on Friday. It followed news that the U.S. had killed Iran’s top military commander during an airstrike, sparking geopolitical fears. As a result, gold hit a four-month high and oil prices saw their best daily performance since early December.
Tensions between the U.S. and Iran remain volatile as a new week begins. President Donald Trump said Sunday that he could slap sanctions on Iraq, after its parliament passed a resolution calling for the government to expel foreign troops from the country.
“We have a very extraordinarily expensive air base that’s there. It cost billions of dollars to build. Long before my time. We’re not leaving unless they pay us back for it,” Trump said Sunday.
Meanwhile, in terms of data, there will be services PMIs due at 9:45 a.m. ET. The earnings calendar is also thin with only Cal-Maine Foods and Commercial Metals due before the bell.