U.S. stock futures rise as Trump weighs Iran strikes and rate-hike odds reach 53.1%

  • U.S. stock futures advanced Friday after the Dow Jones, S&P 500 and Nasdaq closed higher Thursday.
  • Markets priced a 53.1% probability of a Federal Reserve rate hike after October’s meeting.
  • Industrial production data for August was scheduled for release at 9:15 a.m. ET Friday.

U.S. stock futures advanced Friday, with the Dow Jones, S&P 500, Nasdaq 100 and Russell 2000 all higher after Thursday’s gains. Crude oil fell while gas prices rose as President Donald Trump considered a "big decision" on potential military strikes against Iran before talks with Gulf leaders on a postwar endgame. The market was also assessing reports that Iranian forces detained a tanker and warnings from former counterterrorism chief Joe Kent that "there is no military solution." The 10-year Treasury yield was 4.94% and the 2-year yield was 4.69%, while CME Group’s FedWatch tool showed a 53.1% probability of a Federal Reserve rate hike after its October meeting. Wells Fargo investment strategy analyst Tony Miano said heavy public and private debt issuance could push yields higher, although artificial-intelligence infrastructure spending may support productivity and long-term growth. Bitcoin rose 2.00% to $77,939.67, while industrial production data for August was due at 9:15 a.m. ET.

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