Market Jitters: Stocks Slip as Iran Accuses U.S. of Ceasefire Violations, Trump Vows Arms Stay Put
MarketDash
U.S. stock futures dropped Thursday after Iran alleged Washington broke ceasefire terms, while President Trump said U.S. weaponry 'will remain in place.' Here's what moved markets and the stocks in focus.
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So much for that rebound. U.S. stocks are taking a step back on Thursday, with futures pointing lower after a sharp rally the day before. The mood shifted after Iran decided to, well, complain publicly.
In a post on X, Iranian parliamentary speaker Mohammad Bagher Ghalibaf said Washington has a "pattern" of breaking commitments, adding that "in such situation, a bilateral ceasefire or negotiations is unreasonable." He pointed to continued Israeli strikes in Lebanon, an alleged drone incursion into Iranian airspace, and disputes over Iran's nuclear rights as examples of violations. Not exactly a glowing review of diplomatic progress.
Over on Truth Social, President Donald Trump had a different take. He mentioned that all the U.S. ammunition and weaponry, "will remain in place," until the "REAL AGREEMENT" is reached and fully complied with. So, the arms stay put until further notice. That's one way to keep leverage.
Meanwhile, the bond market wasn't doing much. The 10-year Treasury yield sat at 4.28%, and the two-year was at 3.77%. According to the CME Group's FedWatch tool, markets are pricing in a 99.5% likelihood that the Federal Reserve will leave interest rates unchanged at its April meeting. Because why rock the boat when geopolitical waves are already choppy?
Index
Performance (+/-)
Dow Jones
-0.39%
S&P 500
-0.38%
Nasdaq 100
-0.36%
Russell 2000
-0.66%
The SPDR S&P 500 ETF Trust (SPY) and Invesco QQQ Trust ETF (QQQ), which track the S&P 500 and Nasdaq 100, respectively, were lower in premarket trading. The SPY was down 0.46% at $672.93, while the QQQ declined 0.41% to $603.60. Just a gentle nudge downward, but enough to notice.
Stocks In Focus
GameSquare Holdings
GameSquare Holdings Inc. (GAME) surged 50.61% after the company reported fourth-quarter 2025 results that included its first positive adjusted EBITDA, along with full-year 2025 financials and a reiteration of its 2026 guidance.
Market data indicates that GAME maintains a weak price trend in the short, medium, and long terms.
Costco Wholesale
Costco Wholesale Corp. (COST) was 0.30% lower after it reported net sales of $28.41 billion for the retail month of March, the five weeks ended April 5, 2026, an increase of 11.3% from $25.51 billion last year.
Market data indicates that COST maintains a strong trend in the long, short, and medium terms, with a moderate growth ranking.
Digital Realty Trust
Digital Realty Trust Inc. (DLR) declined 1.50% after announcing that it's targeting nearly S$7 billion of total investment in Singapore, reinforcing the market's critical role as an AI infrastructure hub for the Asia Pacific, with more than S$4.3 billion planned for new data center developments, building on existing investments.
Market data indicates that DLR maintains a strong price trend in the long, short, and medium terms, with a solid growth score.
Constellation Brands
Constellation Brands Inc. (STZ) was down 0.83% despite posting better-than-expected earnings for the fourth quarter, after the closing bell on Wednesday. The company also said it expects fiscal 2027 adjusted EPS of $11.20 to $11.90, versus the $12.37 analyst estimate.
Market data indicates that STZ maintains a strong price trend over the short and medium terms but a weak trend in the long term, with a poor value score.
Arrive AI
Arrive AI Inc. (ARAI) rose 30.51% after announcing on Monday that it had secured its tenth U.S. patent for shared autonomous delivery endpoint technology.
Market data indicates that ARAI maintains a weak price trend in the short, medium, and long terms.
Cues From Last Session
Communication services, industrials, and materials stocks recorded the largest gains on Wednesday, driving most S&P 500 sectors to a positive close, though energy stocks bucked the trend and finished lower.
Index
Performance (+/-)
Value
Dow Jones
2.85%
47,909.92
S&P 500
2.51%
6,782.81
Nasdaq Composite
2.80%
22,634.99
Russell 2000
2.97%
2,620.46
Insights From Analysts
BlackRock anticipates ongoing economic challenges in the United States, largely driven by external disruptions and geopolitical events. Evaluating the macroeconomic environment, the firm states, "We eye the impact of higher energy prices in the U.S. March CPI this week and see supply chain shocks eventually pushing up broader inflation."
With these persistent inflationary pressures, interest rate cuts appear unlikely in the near term. Consequently, "Markets now see the Fed on hold this year after partially pricing in a rate hike last week."
Given this backdrop, BlackRock maintains a strictly neutral tactical view on U.S. equities. They caution that "Higher interest rate expectations could weigh on the market – and small caps in particular."
Despite this broader caution, BlackRock sees significant strategic opportunities in artificial intelligence. The firm emphasizes, "We keep our overweight to companies that benefit from the AI mega force."
Specifically, they "favor physical infrastructure and equipment supporting the AI buildout" because these foundational assets are positioned to "benefit no matter the winners or losers".
Upcoming Economic Data
Here's what investors will be keeping an eye on this Thursday.
February's personal income, personal spending, PCE index, core PCE index, and the second revision of the fourth quarter GDP number, along with initial jobless claims for the week ending April 4, will all be released by 8:30 a.m. ET.
February's wholesale inventories data will be out by 10:00 a.m. ET.
Commodities, Crypto, And Global Equity Markets
Crude oil futures were trading higher in the early New York session by 3.29% to hover around $97.52 per barrel.
Gold Spot US Dollar rose 0.22% to hover around $4,729.70 per ounce. Its last record high stood at $5,595.46 per ounce. The U.S. Dollar Index spot was 0.09% lower at the 99.0470 level.
Meanwhile, Bitcoin was trading 0.60% lower at $71,227.63 per coin, as per the last 24 hours.
Asian markets closed lower on Thursday, except Australia's ASX 200 index. Hong Kong's Hang Seng, China’s CSI 300, India’s Nifty 50, South Korea's Kospi, and Japan's Nikkei 225 indices fell. European markets were also lower in early trade.
