Dow futures tumble 130 points: 5 things to know before market opens

Wall Street futures were mixed on Friday as investors balanced a fresh burst of optimism in semiconductor stocks against lingering unease over the US-Iran conflict and the risk that elevated oil prices could weigh on growth.

The split tone suggested traders were reluctant to push broad equity benchmarks much higher before the weekend, even as Intel’s strong outlook lifted sentiment across parts of the technology sector.

With diplomatic progress in the Middle East still uncertain and energy markets on edge, caution remained the dominant mood before the opening bell.

5 things to know before Wall Street opens

1. Futures point to a divided start

US futures painted a mixed picture early on Friday, reflecting a market that remains selective rather than broadly risk-on.

S&P 500 futures were little changed, Nasdaq 100 futures edged up 0.4%, while Dow futures slipped 130 points (0.23%).

That setup indicates investors are still willing to own growth and chip names, but not yet ready to chase the wider market higher into the weekend.

2. Ceasefire hopes are fragile

President Donald Trump said earlier this week that the US would extend the ceasefire with Iran until an Iranian proposal was submitted, but the situation remains unstable and investors are still looking for concrete evidence of progress.

Iranian forces fired on ships in the Strait of Hormuz even after the unilateral ceasefire was extended, underlining how fragile the truce remains.

That continued tension has kept geopolitical risk squarely in focus, especially with no clear sign that formal talks are advancing.

3. Oil is still the market’s swing factor

Oil remains the clearest transmission channel from geopolitics to financial markets.

Any threat to shipping through Hormuz raises concern over supply, inflation and the durability of the global recovery.

Even when equities have held up, volatility in crude has capped risk appetite by keeping alive fears that higher fuel costs could squeeze consumers, corporate margins and central-bank flexibility.

4. Intel has given chip stocks a boost

The clearest positive catalyst before the bell came from Intel, whose shares jumped more than 22% in premarket trading after it forecast second-quarter revenue above analysts’ estimates.

The upbeat outlook was read as a sign of strong demand for hardware used to run advanced AI models, and it lifted broader semiconductor sentiment.

Rival AMD also rose, though by far less than the sharp surge suggested in your source draft.

5. Tech remains resilient despite AI noise

Investors are still parsing what the next leg of the AI trade looks like.

DeepSeek’s latest V4 preview has revived attention on Chinese AI competition, particularly after Reuters reported earlier this month that the model would run on Huawei chips.

Yet US tech shares have so far shown resilience, suggesting investors remain focused on earnings momentum and infrastructure demand rather than treating each new model release as a reason to reset valuations.