Futures linked to the Dow Jones are down around 130 points, while those associated with the S&P 500 and Nasdaq are down 20 points and 120 points respectively.
Incidentally, despite the developments on Monday, all three indices made new record highs. The S&P 500 crossed the mark of 7,600 for the first time, while the Nasdaq also ended higher led by continued buying in tech and AI-linked stocks. The Dow Jones also recovered from the lows of the day to end around the flat line.
Trump’s Assurance
After Iran announced that they will stop all negotiations with the US in response to the ceasefire violations, including those by Israel in Lebanon, US President Donald Trump wrote on Truth Social that he spoke to Israeli Prime Minister Benjamin Netanyahu and told him to not proceed with a raid in Beirut, Lebanon’s capital.
“I also had a conversation with Representatives of the Leaders of Hezbollah, and they agreed to stop shooting at Israel, and its soldiers. Likewise, Israel agreed to stop shooting at them,” Trump wrote in his post, adding “Let’s see how long that lasts.”
In a separate post, Trump wrote that talks with Iran are progressing at a rapid pace, without divulging further details.
Israel’s PM Netanyahu in a post on “X” wrote that he spoke to Trump and told him that Israel will attack terrorist areas in Beirut if Hezbollah does not stop attacking its citizens and its soldiers. He also said that the IDF will continue with their planned attacks in southern Lebanon.
Response Of Other Asset Classes
Oil prices jumped as much as 7% on Monday in response to the fallout of the talks. Brent crude crossed the mark of $96 intraday before closing at the $95 mark. The West Texas Intermediate is currently trading around the mark of $93.
However, there has not been any major reaction in other asset classes. The US 10-year bond yield is back at 4.45% after having seen a brief rise back to the 4.5% mark.
The US Dollar index is trading near 99.2, while Gold and Silver prices are little changed in the spot market.
