Finance

U.S. stock futures for the S&P 500 and Nasdaq 100 traded higher even as international benchmarks in Asia and Europe fell sharply due to geopolitical uncertainty. Investors remain focused on domestic economic indicators and robust corporate earnings that have recently pushed U.S. indexes toward record highs.

The PHLX semiconductor index retreated nearly 3% as investors began rebalancing portfolios away from overextended chip stocks. Conversely, software companies have seen increased interest, with sector-specific ETFs reaching their highest levels since early February following strong earnings reports.

The yield on the 10-year U.S. Treasury note advanced to approximately 4.40% as the breakdown of ceasefire talks in the Middle East reignited inflation concerns. This upward pressure on yields comes as the market prepares for critical labor data that will influence future interest rate decisions.