Futures tied to major U.S. equity indices traded mixed on Tuesday, as investors weighed reports that U.S. President Donald Trump is dissatisfied with Iran’s latest proposal to end their two-month conflict. At the same time, corporate developments and central bank signals added to the market’s cautious tone. OpenAI reportedly fell short of internal revenue targets, while BP (NYSE:BP) shares advanced on stronger oil and gas prices. Meanwhile, the Bank of Japan kept interest rates unchanged but signaled a readiness to tighten policy if inflation persists.
Futures drift amid oil gains and earnings anticipation
By 03:28 ET, Dow futures were little changed, S&P 500 futures were down 14 points, or 0.2%, and Nasdaq 100 futures had fallen 117 points, or 0.4%.
In the previous session, the S&P 500 and Nasdaq Composite posted gains, while the Dow Jones Industrial Average declined.
Investors are also preparing for one of the busiest weeks of the earnings season, with roughly 35% of S&P 500 companies due to report results. On Monday, Verizon (NYSE:VZ) raised its full-year profit outlook, while Domino’s Pizza (NASDAQ:DPZ) warned of weaker growth, sending its shares down 8.8%. Upcoming reports from Visa (NYSE:V), Coca-Cola (NYSE:KO) and T-Mobile US (NASDAQ:TMUS) are expected to draw attention.
Tech giants will take center stage later in the week, offering insights into ongoing investment in artificial intelligence infrastructure—spending that has helped support markets despite geopolitical tensions and energy-related risks.
Trump weighs Iran proposal as tensions persist
Reports indicated that Trump is unhappy with Iran’s latest offer, which would end hostilities and reopen the Strait of Hormuz but delay discussions on Tehran’s nuclear program.
Trump has repeatedly emphasized that dismantling Iran’s nuclear capabilities—particularly any pathway to a nuclear weapon—has been a key objective of the joint U.S.-Israeli offensive launched in late February. Reuters, citing a U.S. official, said this stance has led to dissatisfaction with the proposal.
Hopes for renewed diplomatic engagement were also dampened after Trump canceled plans to send negotiators to Pakistan for fresh talks. Iran’s foreign minister visited Islamabad twice over the weekend before meeting Russian President Vladimir Putin on Monday and securing support.
Despite these efforts, the Strait of Hormuz remains largely closed to shipping. The waterway, which carries roughly one-fifth of global oil supply, has been heavily restricted for weeks, pushing crude prices significantly higher.
This has intensified concerns about an energy-driven inflation surge that could force central banks to raise interest rates. Brent crude futures continued to rise on Tuesday.
OpenAI falls short of internal growth targets
OpenAI has missed internal benchmarks for both user growth and revenue, according to a report by The Wall Street Journal, raising questions about the sustainability of its heavy spending plans.
The company reportedly failed to reach its goal of one billion weekly active users for ChatGPT by the end of 2025 and also missed several monthly revenue targets earlier this year.
CFO Sarah Friar is said to have warned executives that slower revenue growth could make it difficult to fund future data center commitments. Board members have also raised concerns over recent infrastructure deals and CEO Sam Altman’s push for additional computing capacity.
These developments come as OpenAI moves toward a potential IPO later this year, prompting leadership to focus more closely on cost control and operational discipline.
BP shares rise on strong profit growth
BP (NYSE:BP) shares moved higher in London, supported by elevated oil and gas prices that drove a sharp increase in earnings.
The company reported underlying replacement cost profit of $3.2 billion, more than double the $1.38 billion recorded a year earlier, highlighting the benefit of tighter global crude supply.
Bank of Japan holds rates but signals tightening bias
The Bank of Japan left its policy rate unchanged at 0.75%, in line with expectations, but warned that slowing growth and rising inflation linked to Middle East tensions could influence future decisions.
The vote was not unanimous, with three members of the nine-person board supporting a rate increase—marking the highest level of dissent since 2016.
The central bank stated that “[g]iven that underlying inflation has been approaching 2% and real interest rates are at significantly low levels,” it will “continue to raise its policy rate in response to developments in the economy, prices and financial conditions.”
Analysts at Capital Economics said: “While the Bank of Japan left interest rates unchanged today, its Outlook report was hawkish and we’re sticking to our forecast that the Bank will hike rates in June.”