Nasdaq 100 and S&P500: OECD Cut and China Trade Fears Pressure US Stocks at the Open

Stock Futures Dip as OECD Trims U.S. Growth Forecast and Trade Concerns Re-Emerge

U.S. stock futures were mixed early Tuesday, signaling a cautious open after the S&P 500 kicked off June with slight gains. Traders weighed fresh global growth warnings and rising geopolitical risks that could cloud near-term sentiment.

Dow futures dropped 70 points, or 0.17%, to 42,304, while S&P 500 futures slipped 5.25 points, or 0.09%, to 5,942. Nasdaq 100 futures held slightly higher, adding 9.25 points, or 0.04%, to 21,543.75. The tepid tone follows the OECD’s downgrade of its U.S. growth forecast to 1.6%, down from 2.2%, highlighting economic headwinds.

Is Trade Friction With China and the EU a New Market Risk?

Tensions between the U.S. and China resurfaced after Beijing rejected allegations of violating a temporary trade deal. Hopes for a resolution had buoyed sentiment, but this pushback raised doubts about further progress. Meanwhile, the European Union pushed back against President Trump’s plan to raise steel tariffs to 50%, warning of retaliatory measures that could hurt transatlantic trade ties.

These geopolitical pressures are driving risk aversion, reflected in the 3-basis-point drop in the 10-year Treasury yield to 4.43%, as investors seek safety in bonds.

Which Stocks Are Leading Premarket Action?

Several names stood out in early trading. Dollar General jumped more than 10% after raising its full-year sales forecast and topping Q1 earnings estimates. The company posted EPS of $1.78 on revenue of $10.44 billion, ahead of forecasts.

Constellation Energy surged 9% after Meta agreed to a 20-year deal to buy 1.1 gigawatts of nuclear energy starting in 2027. Related energy stocks Vistra and NRG climbed 5% and 2%, respectively.

Hims & Hers gained over 5% on news it will acquire European telehealth firm Zava, expanding its customer base by 50%. Pinterest rose more than 4% after JPMorgan upgraded it, citing improved user growth and monetization. Credo Technology soared 14% after strong earnings and revenue guidance, boosted by hyperscaler demand.

What’s the Market Outlook as June Gets Underway?

Short-term sentiment remains split between seasonal optimism and structural concerns. Renaissance Macro’s Jeff deGraaf noted that early June has historically delivered strong equity returns, suggesting potential upside. But global trade tension, softer growth data, and elevated yields are tempering broader risk appetite.

Traders will be watching for updates on U.S.-China negotiations, EU tariff responses, and any Fed commentary that could recalibrate rate expectations. Treasury yields and defensive positioning hint that caution remains the default as June unfolds.

More Information in our Economic Calendar.