NEW YORK, April 28, 2026, 04:45 EDT — US stock-index futures painted a mixed picture early Tuesday, as a surge in crude oil prices and a deadlock in US-Iran negotiations tempered the recent record-breaking rally on Wall Street. Nasdaq 100 futures dropped 0.40%, while S&P 500 E-mini futures edged down 0.13%, and Dow Jones Industrial Average futures managed a slight gain of 0.08%.
The cautious start comes after the S&P 500 and Nasdaq Composite closed at new all-time highs on Monday. However, with the Federal Reserve's monetary policy decision on the horizon, a packed earnings calendar, and continued volatility in energy markets, investors are bracing for a potentially turbulent week.
Oil Prices Weigh on Sentiment
The primary headwind for equities remains the elevated price of crude oil. According to Reuters, the Strait of Hormuz, a critical chokepoint for approximately 20% of the world's oil and gas flows, remains largely closed. Washington is currently evaluating Tehran's latest offer, but Brent and US crude prices have held firmly above pre-conflict levels. This situation is fueling concerns that inflation, rather than corporate profits, could become the dominant driver of market sentiment.
Central banks are not immune to these pressures. Charu Chanana, chief investment strategist at Saxo, noted the Bank of Japan's recent divided vote, suggesting that “the bar for another hike may be falling.” Meanwhile, Fred Neumann, chief Asia economist at HSBC, warned that policymakers are confronting an energy shock that is both “inflationary and growth destructive.”
Fed Decision and Earnings in Focus
While the Fed is widely expected to leave interest rates unchanged at its meeting this week, investors will be closely watching for any signals from policymakers regarding the impact of higher oil prices on inflation and economic growth. With equities already rallying ahead of the decision, a “higher for longer” tone from the central bank could have a more pronounced effect on markets.
Adding to the week's significance, earnings season continues with reports from tech megacaps Microsoft, Alphabet, and Amazon. The key question for investors is whether the massive spending on artificial intelligence is translating into tangible revenue and profit growth, or merely expanding capital expenditure lines. “A big week for confirmation of the rally,” said Anthony Saglimbene, chief market strategist at Ameriprise.
Premarket Movers and Market Context
In premarket trading, shares of Domino's Pizza fell roughly 10% after the company trimmed its 2026 same-store sales outlook and missed US sales projections. “Higher food and energy costs are already weighing on short-term earnings,” said Brian Mulberry, chief marketing strategist at Zacks Investment Management. Conversely, Verizon shares rose after the telecom giant raised its profit outlook for the year, citing aggressive promotions that attracted subscribers from rivals AT&T and T-Mobile.
Tuesday's earnings roster includes reports from Visa, Coca-Cola, and T-Mobile. With about 35% of S&P 500 companies scheduled to report this week, traders are focusing heavily on forward guidance as much as on quarterly profit figures.
The broader market context remains one of elevated valuations and persistent risks. Goldman Sachs analysts have pointed out that profits forecasted more than a decade ahead now account for roughly 75% of the S&P 500's equity value—a level not seen in a quarter-century. They also cautioned that questions about how AI will reshape markets could persist for several more quarters.
As of early Tuesday, futures were not signaling a sharp selloff, but the record-breaking rally was not receiving a blank check, either. The Dow slipped 0.13% to 49,168.04 on Monday. The S&P 500 edged up 0.12% to 7,173.93, while the Nasdaq climbed 0.20% to 24,887.10. Robert Pavlik, senior portfolio manager at Dakota Wealth, noted that markets are weighing whether these new highs are actually “justified.”
