US Stock Futures Rise as Investors Monitor Middle East Oil Supplies and AI Policy Developments: Dow Jones, S&P, Nasdaq, Wall Street

US stock futures advanced on Monday as investors assessed developments in the Middle East, declining oil prices and artificial intelligence policy discussions between Washington and Beijing.

At 06:58 GMT, Dow Jones Industrial Average futures were up 239 points, or 0.5%, while S&P 500 futures gained 39 points, also rising 0.5%. Nasdaq 100 futures advanced 218 points, or 0.7%.

Wall Street ended Friday’s session with mixed results. The S&P 500 and Nasdaq Composite closed higher, while the Dow Jones Industrial Average declined slightly.

US Treasury yields increased across maturities as market expectations for another Federal Reserve interest rate increase before the end of 2026 remained broadly unchanged.

Analysts at Vital Knowledge attributed much of Friday’s equity market gains to companies supplying infrastructure and components for artificial intelligence, including semiconductor manufacturers.

The analysts also noted that the Bank of Japan’s latest interest rate increase was less restrictive than some investors had anticipated, with two policymakers voting to leave rates unchanged.

The yen weakened following the decision, prompting concerns among the analysts about the possibility of Japanese authorities selling US Treasury securities to support the currency.

Investors continued to monitor the conflict in Yemen after reports of intensified fighting between Iran-backed Houthi forces and Saudi-aligned groups over the weekend.

The New York Times, citing a Saudi army officer, reported clashes in mountainous areas of southwestern Yemen on Sunday.

The fighting comes amid competition for positions near the Bab el-Mandeb Strait, a shipping passage connecting the Gulf of Aden with the Red Sea.

Saudi Arabia has increasingly relied on this route to export crude oil following disruptions to shipping through the Strait of Hormuz.

According to The New York Times, the Houthis also said they had launched missiles and drones towards Riyadh and targeted Saudi oil facilities in response to Saudi air strikes inside Yemen.