US stock market movements on Thursday (9/7/2026) were observed to be mixed amid the shadow of escalating geopolitical conflicts involving Washington and Tehran. The latest military action in the Strait of Hormuz triggered global concerns, while putting additional pressure on the stability of crude oil commodity prices, which had experienced a significant spike.
Chief Investment Officer of UBS Global Wealth Management, Mark Haefele, warned that the uncertain peace process in the Middle East will continue to be a major source of market volatility in the short term. Nonetheless, a shared interest in keeping the vital trade route in the Strait of Hormuz open is expected to act as a counterweight amid rising tensions.
Behind the macro pressures, the semiconductor sector emerged as an anchor of market strength, with the iShares Semiconductor ETF gaining 2.4%. This sector managed to support the performance of Nasdaq futures, despite a weakening trend in investor interest in artificial intelligence (AI)-based stocks, which were previously the favorites.
Negative sentiment also clouded several major tech giants. Reports regarding changes in AI strategies at companies like Starbucks impacted the stock performance of IBM and Microsoft, both of which underwent corrections. Additionally, Meta Platforms' ambition to produce its own AI chips also weighed on the company's stock movement in the pre-market session.
On the other side, investors are now focusing their attention on the direction of Federal Reserve monetary policy. Based on the latest meeting minutes, the market anticipates a potential further interest rate hike of 25 basis points before the year ends. Market players are now waiting for the release of weekly jobless claims data as an additional indicator to gauge the resilience of the US economy amid this challenging situation.
