U.S. stock futures rose on Friday after Thursday’s declines. This followed an exchange of fire near the Strait of Hormuz between the U.S. and Iranian forces.
Speaking to an ABC reporter, Donald Trump referred to the exchange as “just a love tap,” according to a social media post by the journalist. He also added that the ceasefire was still in effect and ongoing.
Investors await the non-farm payroll data for the month of April, scheduled to be released before the opening bell. FactSet projects the median estimate for the month to rise by 65,000.
Meanwhile, the 10-year Treasury bond yielded 4.36%, and the two-year bond was at 3.90%. The CME Group’s FedWatch tool‘s projections show markets pricing a 94.8% likelihood of the Federal Reserve leaving the current interest rates unchanged during June’s meeting.
| Index | Performance (+/-) |
| Dow Jones | 0.16% |
| S&P 500 | 0.39% |
| Nasdaq 100 | 0.60% |
| Russell 2000 | 0.16% |
The SPDR S&P 500 ETF Trust (NYSE:SPY) and Invesco QQQ Trust ETF (NASDAQ:QQQ), which track the S&P 500 and Nasdaq 100, respectively, were higher in premarket on Friday. The SPY was up 0.43% at $734.72, while the QQQ advanced 0.64% to $699.36.
Stocks In Focus
Coinbase Global
- Coinbase Global Inc. (NASDAQ:COIN) fell 3.62% in premarket on Friday after reporting downbeat first-quarter financial results. It reported first-quarter revenue of $1.41 billion, down 31% year-over-year. The revenue total missed a Street consensus estimate of $1.53 billion.
- Benzinga’s Edge Stock Rankings indicate that COIN maintains a strong price trend in the short term but a weak trend in the medium and long terms, with a good growth score.
Cloudflare
- Cloudflare Inc. (NYSE:NET) plunged 16.74% after it reported upbeat earnings but cut 20% of its workforce during the first quarter.
- Benzinga’s Edge Stock Rankings indicate that NET maintains a strong price trend in the long, medium, and short terms.
Trade Desk
- Benzinga’s Edge Stock Rankings indicate that TTD maintains a strong price trend in the short term but a weak trend in the medium and long terms, with a poor quality score.
BILL Holdings
- BILL Holdings Inc. (NYSE:BILL) jumped 7.09% as it reported total revenue of $406.6 million, an increase of 13% year-over-year and diluted earnings of $0.12 per share.
- Benzinga’s Edge Stock Rankings indicate that BILL maintains a weak price trend in the short, medium, and long terms.
CoreWeave
- CoreWeave Inc. (NASDAQ:CRWV) fell 8.76% as it reported a first-quarter adjusted loss of $1.12 per share, missing estimates for a loss of 90 cents per share. However, it was the “strongest bookings quarter in CoreWeave’s history,” said Michael Intrator, co-founder and CEO of CRWV.
- Benzinga’s Edge Stock Rankings indicate that CRWV maintains a strong price trend in the short, medium, and long terms, with a poor value score.
Cues From Last Session
Communication services and information technology stocks bucked the overall market trend to close higher on Thursday, while most S&P 500 sectors ended negatively, led by heavy losses in materials, energy, and industrials.
| Index | Performance (+/-) | Value |
| Dow Jones | -0.63% | 49,596.97 |
| S&P 500 | -0.38% | 7,337.11 |
| Nasdaq Composite | -0.13% | 25,806.20 |
| Russell 2000 | -1.63% | 2,839.63 |
Insights From Analysts
Senior Global Market Strategist Scott Wren notes that despite geopolitical tensions in the Persian Gulf, the U.S. stock market has hit record highs as investors focus on artificial intelligence (AI) and first-quarter earnings reports.
Wren points out that tech sector earnings are surging, with 2026 AI-related spending commitments reaching “north of $800 billion.”
However, Wren cautions about elevated risks regarding the Strait of Hormuz. He warns that a near-term closure could damage “fragile global energy supply chains.” Eventually, he expects this could turn price volatility into an “actual shortage that disrupts the supply of refined products.”
Regarding market strategy, Wren expects Information Technology to remain “more attractive from a valuation perspective” than the Energy sector. He also anticipates resilience in specific subsectors amidst these large uncertainties.
He expects Machinery and Electrical Equipment to benefit from the domestic data center buildout, while Aerospace and Defense should see a “persistent upward rerating on valuations as the U.S. rebuilds its military arsenal.”
Ultimately, he believes neither Washington nor Tehran is seeking a “full-scale military confrontation”.
Upcoming Economic Data
Here’s what investors will be keeping an eye on Friday.
- Fed Governor Lisa Cook will speak in Senegal at 5:45 a.m. ET.
- April’s U.S. employment report, unemployment rate, and hourly wages data will all be released by 8:30 a.m. ET.
- March’s wholesale inventories and May’s preliminary consumer sentiment data will be out by 10:00 a.m., and a panel featuring Chicago Fed President Austan Goolsbee, San Francisco Fed President Mary Daly, and Fed Governors Michelle Bowman and Christopher Waller will take place at 7:30 p.m. ET.
Commodities, Crypto, And Global Equity Markets
Crude oil futures were trading higher in the early New York session by 0.13% to hover around $94.93 per barrel.
Gold Spot US Dollar rose 0.75% to hover around $4,722.18 per ounce. Its last record high stood at $5,595.46 per ounce. The U.S. Dollar Index spot was 0.04% higher at the 98.1060 level.
Meanwhile, Bitcoin (CRYPTO: BTC) was trading 2.13% lower at $79,731.64 per coin, as per the last 24 hours.
Asian markets closed lower on Friday, except South Korea’s Kospi index. Japan’s Nikkei 225, China’s CSI 300, Australia’s ASX 200, Hong Kong’s Hang Seng, and India’s Nifty 50 indices fell. European markets were lower in early trade.
Photo courtesy: Photo: Shutterstock
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