Iran Tensions and OpenAI Pause Send U.S. Futures Lower

U.S. stock futures fell Monday as investors weighed renewed tensions involving Iran, higher oil prices and concerns about artificial intelligence. By 03:50 ET, S&P 500 futures were down 0.42% at 7,710.7, while Nasdaq 100 futures fell 1% to 30,595.

Technology sentiment weakened after OpenAI paused training on some of its latest AI models. Investors were also watching the dispute over the Strait of Hormuz, after President Donald Trump rejected an Iranian proposal to reopen the shipping route and end the fighting.

Iran said diplomacy was the only way to resolve the conflict with the U.S. and Israel. It also said it would not soften its conditions for reopening the strait.

Oil rose as uncertainty over Hormuz persisted. Brent crude futures gained 1.1% to $105.48 a barrel, while WTI futures advanced 0.8% to $93.12.

The waterway is a key route for global oil shipments. The source report said prolonged uncertainty could keep energy supplies disrupted, sustain higher oil prices and add to inflation pressures.