Traders work at the New York Stock Exchange in New York City, USA, June 3, 2026. Brendan McDermid | Reuters S&P 500 futures fell early Tuesday, led by semiconductors after the major averages started the new week on a losing note, as tensions between the United States and Iran persisted and inflation concerns led to higher Treasury yields. Contracts linked to the broad market index fell 0.5%, while Nasdaq-100 futures fell 1.1%. Dow Jones Industrial Average futures traded 11 points higher, thanks in part to a 1% advance in Home Depot shares after the home improvement giant posted better second-quarter earnings. Western Digital fell more than 6%, leading Nasdaq futures lower. Sandisk also fell about 6%. Marvell and Seagate fell more than 5%. Tuesday’s moves follow a losing session for stocks as oil prices rose on uncertainty surrounding a ceasefire between the United States and Iran that expired on Monday. Negotiations between the countries have stalled and President Donald Trump said he would attack Oman “if it gets in the way.” Rising oil prices stoked inflation fears, pushing up longer-term Treasury yields. The yield on 30-year Treasury bonds hit a high not seen since June 2007. Yields rose again on Tuesday, while oil prices were little changed. However, Sonali Basak, chief investment strategist at iCapital, still believes there is fuel left in the stock market, especially as the rally broadens beyond big tech companies. “You look around and there’s still more room to run,” Basak told CNBC’s “Closing Bell” in an interview. “Even in the last month, the S&P Equal Weight still hasn’t outperformed the Nasdaq or the SOXX, which tells me it’s still relatively behind, even in the last few days.” Across the Atlantic, European markets fell into the red in morning trading. The pan-European Stoxx 600 fell 0.51%. France’s CAC 40 lost 0.55% and Italy’s FTSE MIB fell 0.59%, while Germany’s DAX lost 0.38%. In London, the FTSE 100 fell less than 0.1%. Asia-Pacific markets ended in the red. South Korea’s Kospi fell 1.55%. Japan’s Nikkei 225 fell 2.54%. The Australian benchmark S&P/ASX 200 index closed flat. Mainland China’s CSI 300 fell 0.32%, while Hong Kong’s Hang Seng Index was little changed.
