Futures Slide as Trump Warns Iran Ceasefire Is 'On Life Support'; ZoomInfo, GitLab in Focus
MarketDash
U.S. stock futures dipped Tuesday after Monday's gains, as President Trump's sharp criticism of Iran's response to a ceasefire proposal rattled markets. Investors are also eyeing key CPI data and a slew of earnings moves from ZoomInfo, GitLab, GoPro, and others.
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U.S. stock futures slipped on Tuesday after Monday's modest gains, as President Donald Trump poured cold water on hopes for a quick resolution to the conflict with Iran. Trump described the ceasefire as "on life support" following Tehran's latest response to a U.S. proposal, calling it "the weakest right now" and deeming Iran's demands unacceptable.
On the economic front, all eyes are on the April consumer price index, due out before the opening bell. According to FactSet, the median estimate calls for a 3.7% year-over-year increase. The 10-year Treasury yield stood at 4.43%, while the two-year note yielded 3.97%. The CME Group's FedWatch tool shows markets pricing in a 97.6% probability that the Federal Reserve will leave rates unchanged at its June meeting — meaning only a 2.4% chance of a cut.
Here's how the major index futures were shaping up ahead of the open:
Index
Performance (+/-)
Dow Jones
-0.04%
S&P 500
-0.38%
Nasdaq 100
-0.73%
Russell 2000
-0.45%
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. SPY was down 0.42% at $736.20, while QQQ declined 0.79% to $707.69.
Stocks in Focus
GitLab
GitLab Inc. (GTLB) plunged 8.97% in premarket after announcing a workforce reduction to realign its operating structure. The stock's price trend is weak in the medium and long terms but strong in the short term, according to market data.
GoPro
GoPro Inc. (GPRO) shares jumped 5.30% after reporting better-than-expected first-quarter sales and announcing a strategic review that could lead to a sale or merger. The stock maintains a strong price trend across short, medium, and long terms.
ZoomInfo Technologies
ZoomInfo Technologies Inc. (GTM) tumbled 32.46% despite beating earnings estimates, as cautious forward guidance weighed on sentiment. The stock shows a weak price trend in the medium and long terms but a strong short-term trend, with a moderate growth score.
Plug Power
Plug Power Inc. (PLUG) advanced 5.40% after posting first-quarter results that beat analyst estimates on both the top and bottom lines. The stock maintains a strong price trend across all time frames.
AST SpaceMobile
AST SpaceMobile Inc. (ASTS) dropped 12.08% after reporting a first-quarter loss of $0.66 per share, wider than the expected $0.23 loss, while revenue of $14.74 million missed estimates of $37.63 million. The stock shows a weak price trend in the medium and short terms but a strong long-term trend.
Cues From Last Session
Materials, energy, and industrials stocks posted the biggest gains on Monday, while communication services and consumer staples lagged. Here's how the major indices finished:
Index
Performance (+/-)
Value
Dow Jones
0.19%
49,704.47
S&P 500
0.19%
7,412.84
Nasdaq Composite
0.10%
26,274.12
Russell 2000
0.33%
2,870.64
Insights From Analysts
Lawrence Gillum anticipates significant economic shifts as the Federal Reserve likely transitions to the leadership of Kevin Warsh. Gillum expects Warsh to champion a smaller Fed balance sheet and reduced forward guidance.
While Gillum notes that U.S. debt levels are projected to soar — potentially climbing above 120% of GDP by 2027 — he reassures investors that "the U.S. is not on the verge of a fiscal crisis." Furthermore, Gillum believes "the odds of aggressive rate cuts under a Warsh chairmanship appear low."
Regarding the stock market, Gillum warns that less Fed intervention will result in heightened volatility. He predicts that equity and credit markets could face "sharper repricing around data releases" as investors adjust to fewer explicit policy commitments.
Consequently, Gillum advises that a less accommodative central bank will force "greater price discovery in risk assets." Summing up the unpredictability of this incoming policy regime, Gillum aptly quotes Mike Tyson: "Everyone has a plan until they get punched in the mouth."
Upcoming Economic Data
Here's what investors will be watching on Tuesday:
New York Fed President John Williams will speak in Zurich at 3:15 a.m. ET.
April's NFIB optimism index will be released by 6:00 a.m. ET. The April consumer price index, including year-over-year figures and core CPI data, will be out by 8:30 a.m. ET.
Chicago Fed President Austan Goolsbee is scheduled to speak at 1:00 p.m. ET, followed by the release of April's monthly U.S. federal budget at 2:00 p.m. ET.
Commodities, Crypto, and Global Equity Markets
Crude oil futures were trading higher in the early New York session, up 3.05% to around $101.06 per barrel.
Gold spot fell 0.76% to hover around $4,698.85 per ounce, well off its record high of $5,595.46. The U.S. Dollar Index was 0.31% higher at 98.2540.
Meanwhile, Bitcoin (BTC) was trading 0.20% higher at $80,924.53 per coin over the last 24 hours.
Asian markets closed mostly lower on Tuesday, with only Japan's Nikkei 225 in the green. Australia's ASX 200, India's Nifty 50, South Korea's Kospi, China's CSI 300, and Hong Kong's Hang Seng all fell. European markets were also lower in early trade.
