New York, May 29, 2026, 06:03 (EDT)
Stock index futures mostly held steady early Friday, with Wall Street holding close to record levels as traders waited for details on a possible U.S.-Iran ceasefire extension. Premarket action also chased a jump in Dell Technologies. As of 4:46 a.m. ET, Dow E-minis had gained 37 points, or 0.07%. S&P 500 E-minis were up 2.5 points, or 0.03%, and Nasdaq 100 E-minis traded lower by 6 points, or 0.02%.
Stocks paused after a run that put the S&P 500 and Nasdaq at new closing highs on Thursday. The S&P 500 rose 0.58% to 7,563.63, the Nasdaq gained 0.91% to 26,917.47 and the Dow finished up 0.05% at 50,668.97. All three closed at record levels. According to Reuters, the rally was sparked by word of a draft U.S.-Iran agreement. The deal would still need President Donald Trump’s approval, and Iran’s Tasnim news agency said the draft text wasn’t final yet.
U.S. stock exchanges are on a regular schedule Friday, following the Memorial Day holiday earlier this week. Premarket trading on Nasdaq runs from 4:00 a.m. to 9:30 a.m. Eastern, ending at the opening bell. The NYSE’s holiday calendar for 2026 lists Juneteenth, June 19, as the next full-market closure.
Inflation was back in focus after the Commerce Department’s Bureau of Economic Analysis said Thursday the PCE price index rose 3.8% in April year over year. Core PCE, which strips out food and energy, was up 3.3%. Prices climbed 0.4% from March. Consumer spending picked up 0.5% and the saving rate dropped to 2.6%.
BEA cut its first-quarter real GDP growth estimate to a 1.6% annual rate from 2.0%. The agency said investment and consumer spending didn’t come in as strong as first thought.
The Federal Reserve faces tough choices. A Reuters story said more U.S. central bankers now see a case for raising rates unless inflation drops soon. Fed Governor Lisa Cook said she was “prepared to raise rates” if disinflation doesn’t show up. St. Louis Fed President Alberto Musalem said inflation risks now lean more toward prices than jobs. Reuters
Olu Sonola, who heads U.S. economics at Fitch Ratings, said inflation is getting “increasingly uncomfortable for the Fed.” He said the central bank can’t solve a supply shock but also can’t look past one if it drives core inflation. Reuters
Dell shares jumped almost 40% premarket after the company raised its full-year revenue outlook to $165 billion to $169 billion, up from $138 billion to $142 billion. The company also boosted its forecast for fiscal 2027 AI server revenue to about $60 billion, up from $50 billion. Hewlett Packard Enterprise and Super Micro Computer moved higher too, as Dell’s results pointed to more demand for AI data-center suppliers.
Dell COO Jeff Clarke told the company’s earnings call, “We’re repricing … every day,” as component costs rise and demand changes the market. Melissa Otto, who leads S&P Global Visible Alpha research, said Dell has an edge over rivals because of its scale, supplier relationships and its skill in prioritizing demand. Reuters
Retail was under pressure. Gap shares slid 15% and American Eagle Outfitters lost 10% in premarket as both retailers issued weaker outlooks, pointing to continued trouble for discretionary names. Gap cut its annual sales view; American Eagle flagged a squeeze on gross margin for the current quarter. Reuters reported Gap’s weakness came from Old Navy’s women’s seasonal styles, and American Eagle’s main brand struggled with women’s bottoms and slow spring weather.
Other markets looked steadier than they did earlier this week. According to Reuters market data, Brent crude futures dropped 1.33% to $92.46 while gold gained 0.50% at $4,521.90. The U.S. 10-year Treasury yield was quoted at 4.455%. Lower oil prices are supporting stocks, with energy costs the key link from Iran conflict to renewed inflation worries.
The trade looks finely balanced. Daniela Hathorn, senior market analyst at Capital.com, said “risk appetite has improved” with geopolitical worries lessened, but said “valuations are elevated” and investors are quick to react to headlines and inflation reports. Jamie Cox, managing partner at Harris Financial Group, described traders as “on a hair trigger” for deal news. That matches a market near records, still betting oil, inflation, and the Fed won’t turn. Reuters
Fed officials were set to speak, and investors looked to Anna Paulson, Neel Kashkari and Mary Daly for any signs on rates. A stronger rate hike hint, a negative turn in U.S.-Iran talks, or more gains in crude could all threaten this week’s rally ahead of month-end.
