Dow Jones| Nasdaq | S&P 500 | US Stock Market Today | Highlights: S&P 500 edges down with Iran and earnings season in focus

U.S. natural gas futures declined about 2% as rising domestic output and lower LNG export flows weighed on prices, with the August contract settling at $2.86 per mmBtu. Increased production and softer near-term demand expectations offset support from warmer weather forecasts that are expected to sustain air-conditioning use.

A potential tropical storm in the Gulf of Mexico could further dampen demand and disrupt LNG operations, while storage levels remain above seasonal norms. Despite the decline, U.S. gas prices remain significantly below elevated benchmarks in Europe and Asia, where supply risks continue to drive global prices higher.

A U.S. federal judge has ordered Paramount Skydance to temporarily halt its $110 billion acquisition of Warner Bros. Discovery until August 3, marking an early win for a coalition of states challenging the deal on antitrust grounds. The court said the states made a strong case that the merger could significantly reduce competition, with a further hearing set to decide on a longer delay.

The lawsuit argues the tie-up could create a dominant media player with pricing power in film and television distribution. A prolonged delay could prove costly for Paramount, with potential fees of about $7 million per day if the deal extends beyond September, while Warner Bros. Discovery shares fell on the ruling.

Domino’s Pizza maintained its fiscal 2026 sales growth forecast in the low single digits, even as a challenging consumer environment and heightened competition continue to pressure demand. The company reported second-quarter revenue of $1.19 billion, slightly beating estimates, while shares rose modestly in afternoon trading.

However, profitability lagged expectations, with earnings of $4.07 per share missing forecasts. U.S. same-store sales growth slowed sharply, underscoring weak discretionary spending and increased reliance on promotions, as the broader quick-service restaurant sector grapples with value-seeking consumers.

Money market funds are increasingly shifting toward ultra short-term assets as uncertainty over the Federal Reserve’s rate path clouds the outlook. Weighted average maturities have declined, with managers boosting allocations to overnight repo, floating-rate securities, and short-dated instruments to retain flexibility in a volatile rate environment.

The move reflects caution after past rate shocks and a desire to quickly reinvest at higher yields if hikes materialize. With markets divided on the Fed’s next steps, funds overseeing more than $8 trillion are avoiding duration risk, favoring liquidity and defensive positioning over longer-term exposures.

U.S. gas prices have climbed back to a national average of $4 per gallon, driven by escalating tensions and fresh attacks between the U.S. and Iran. The increase reverses a recent decline seen after prices briefly fell below $4 in mid-June.

Rising oil prices and geopolitical uncertainty are fueling the uptick, with Brent crude still well above prewar levels. Higher fuel costs are expected to impact broader inflation and could become a key concern for voters ahead of midterm elections.

Gold prices were largely flat as investors balanced rising safe-haven demand from escalating U.S.-Iran tensions against pressure from a stronger dollar and higher U.S. Treasury yields. Energy market volatility, driven by Middle East developments and supply risks, kept inflation concerns elevated.

Expectations of prolonged higher interest rates also weighed on bullion, with Federal Reserve officials signal openness to further tightening. Markets have increased bets on a rate hike later this year, limiting gold’s upside despite its traditional role as an inflation hedge.

U.S. crude stockpiles in the Strategic Petroleum Reserve dropped by 5.1 million barrels last week to 311.4 million barrels, marking the lowest level since 1983 and highlighting continued pressure on emergency energy buffers.

Chris Fall has resigned as director of the U.S. Center for AI Standards and Innovation, just three months after taking charge of the federal AI testing institute under the Department of Commerce, according to a report by Axios citing a department spokesperson.

US dollar strengthened as escalating tensions in the US-Iran conflict drove safe-haven demand, while oil prices eased after signals of possible diplomatic efforts.

Sterling gave up earlier gains amid uncertainty over new UK Prime Minister Andy Burnham’s cabinet choices, particularly the finance minister, with markets watching fiscal direction closely.

Rate hike expectations remain subdued ahead of key central bank meetings, while global currency moves were also influenced by steady oil prices and muted economic data.

US gasoline prices have risen back to an average of $4 per gallon as escalating conflict between the United States and Iran pushes global oil prices higher.

The spike follows renewed hostilities after a brief lull, with tensions around the Strait of Hormuz disrupting energy flows and fuelling market volatility.

Higher fuel costs are adding to inflation pressures and pose political risks ahead of US midterm elections, with affordability remaining a key concern for households.

Google is developing a new server chip, internally dubbed “Frozen v2”, designed to run its Gemini AI models more efficiently by embedding elements of the model directly into hardware.

The chip could be six to 10 times more power-efficient than current AI processors and may be deployed by 2028, as the company looks to ease computing constraints and scale AI services.

The project will complement, not replace, Google’s existing TPUs, as the firm continues to optimise its AI infrastructure amid rising demand and internal capacity pressures.

Goldman Sachs is preparing to issue new preferred stock just days after spreads in the segment dropped to their lowest since the global financial crisis. The bank is marketing a perpetual offering with an initial yield guidance of around 6.75% to 6.875%, reflecting strong investor demand for yield.

The proceeds are expected to be used to refinance an existing $750 million preferred issue, as banks continue to tap this market to meet capital requirements. The move follows a recent deal by Bank of New York Mellon, which set a post-crisis low in preferred stock spreads.

Tight spreads highlight intense demand from yield-seeking investors, but also increase uncertainty around future redemptions. Lower reset levels reduce incentives for issuers to call the securities, potentially leaving investors exposed for longer periods.

Scribe Therapeutics, a clinical-stage gene editing company backed by Eli Lilly, is seeking to raise up to $107.2 million through a U.S. IPO. The biotech firm plans to offer 7.2 million shares priced between $13 and $15, implying a valuation of about $242.7 million at the top end.

The company is focused on developing gene-editing therapies for cardiovascular and metabolic diseases, with initial emphasis on atherosclerotic cardiovascular disease. Early trial data from its Australia study is expected in the first half of 2027, which could be a key milestone for investors.

Despite strong backing from major investors including Sanofi, Andreessen Horowitz and Avoro Life Sciences, Scribe continues to report losses, reflecting its early-stage profile. The IPO will help fund ongoing research as the firm prepares to list on Nasdaq under the ticker SCTX.

Jersey Mike’s Subs and its investors are aiming to raise up to $1.09 billion through a U.S. initial public offering, signalling renewed momentum in equity listings. The sandwich chain plans to offer 43.5 million shares priced between $21 and $25, implying a valuation of nearly $8 billion at the top end.

Backed by Blackstone and Abu Dhabi Investment Authority, the company has expanded to over 3,300 locations across the U.S. and Canada, with international growth plans underway. Strong franchise-led growth has supported revenue and earnings expansion, positioning the firm as a major player in the quick-service restaurant space.

The IPO comes despite weak recent performance in food and beverage listings, with peers struggling post debut. However, Jersey Mike’s is betting on consumer demand for affordable, convenient meals and its strong sales growth to attract investors as broader U.S. IPO activity picks up.

U.S. Treasury yields moved higher as escalating tensions between the U.S. and Iran pushed oil prices up, raising concerns about renewed inflation pressures. Brent crude briefly hit a six week high before easing on signs of possible negotiations, but uncertainty around the conflict continues to influence market sentiment.

The rise in yields reflects investor caution that higher energy prices could eventually pass through to consumer inflation, even as recent data showed cooling price pressures. The 2 year and 10 year Treasury yields both edged higher, indicating shifting expectations around interest rates.

Markets are currently pricing in a 62 percent probability of a Federal Reserve rate hike by September, despite expectations that the central bank will hold rates steady at its upcoming July meeting. The geopolitical backdrop is expected to dominate trading, with limited economic data scheduled.

Attention is also on upcoming Treasury supply, including 20 year bonds and inflation protected securities, which could further impact yields and demand dynamics in the bond market.

Brent crude prices crossing $90 per barrel have reignited inflation concerns, potentially influencing Federal Reserve policy decisions. Market pricing suggests a relatively low probability of a rate hike in July, but expectations for September remain elevated. Meanwhile, select stocks such as Domino’s Pizza saw gains after strong earnings, while chipmakers rebounded in premarket trade, reflecting a mixed but active start to the week.