January 5, 2026
Finance

U.S. Stock Futures Gain Amid Geopolitical Moves; Notable Shifts in Energy and Tech Sectors

Market responses to U.S. actions in Venezuela shape early trading week, with key ETFs and individual equities in focus

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Summary

In early trading Monday, U.S. stock futures advanced following mixed closes last week. This week’s activity is influenced by significant geopolitical events involving the U.S. and Venezuela, alongside domestic economic indicators and sector-specific developments. Crude oil prices showed volatility, reflecting geopolitical tensions as major equity ETFs increased. Specific corporate moves, notably in AI infrastructure and pharmaceuticals, contributed to premarket price shifts. Market watchers anticipate upcoming economic data and Federal Reserve policy decisions, with analysts projecting steady but challenged equity growth for 2026.

Key Points

U.S. stock futures rose Monday amidst geopolitical developments in Venezuela and supportive economic data.
West Texas Intermediate crude oil futures fluctuated slightly in response to the U.S. strike and upcoming infrastructure investments in Venezuela's oil sector.
Key individual equities such as Vertiv Holdings, Nukkleus, Ironwood Pharmaceuticals, Brand Engagement Network, and GH Research showed notable premarket price movements tied to upgrades, acquisitions, guidance, and FDA updates.
Analysts forecast steady but cautious U.S. equity growth in 2026, driven by technology and AI, despite potential market concentration risks and inflationary pressures.

As the new trading week begins, futures tied to leading U.S. stock indices showed upward momentum Monday morning, following a weekend marked by pivotal international events. The S&P 500 and Nasdaq 100 futures both registered gains, signaling cautious investor optimism despite recent geopolitical tensions affecting global markets.

A significant development over the weekend involved U.S. military action in Venezuela which resulted in the removal of President Nicolás Maduro’s government. In the wake of this change, the White House disclosed President Trump’s announcement that American oil firms are preparing to deploy multi-billion-dollar investments aimed at refurbishing Venezuela’s critically deteriorated oil infrastructure. These efforts target a reinvigoration of oil production capacity, thereby reviving a vital revenue source for the South American nation.

Crude oil prices responded to these geopolitical shifts with measurable volatility. Early Monday trading saw West Texas Intermediate (WTI) February futures edging down slightly by 0.05 percent, settling near $57.29 per barrel. This sideways movement reflects market uncertainty amid the tensions and forthcoming investments in Venezuela’s oil sector.

On the fixed income front, the U.S. Treasury yield curve maintained recent patterns. The 10-year note yielded 4.17 percent, while the two-year Treasury offered 3.46 percent. Investors are closely monitoring these yields in anticipation of Federal Reserve policy, with the CME Group’s FedWatch tool showing an 82.3 percent probability that the Fed will keep interest rates steady at its January meeting.

Examining futures performance in detail as of Monday, notable changes included the Dow Jones Industrial Average contract inching up by 0.02 percent, the S&P 500 futures increasing by 0.20 percent, the Nasdaq 100 futures improving by 0.50 percent, and the Russell 2000 futures remaining largely unchanged with a 0.01 percent rise.

Among key exchange-traded funds, the SPDR S&P 500 ETF Trust (NYSE: SPY) and Invesco QQQ Trust ETF (NASDAQ: QQQ), which correspond to the S&P 500 index and Nasdaq 100 respectively, were both higher in premarket sessions. The SPY climbed 0.22 percent to $684.68, while the QQQ increased 0.51 percent to $616.26.


Individual Stocks Drawing Attention

Vertiv Holdings Co. (NYSE: VRT) logged a premarket share price increase of 1.62 percent Monday. This uptick followed Barclays’ analyst upgrade of the stock to "overweight" from "equal weight." Vertiv, an Ohio-based provider dominating AI infrastructure solutions, is currently viewed with a 75 percent likelihood by Polymarket to be incorporated into the S&P 500 index soon. The company exhibits robust price trends across short to long durations alongside a strong quality ranking, highlighting its attractive positioning.

Nukkleus Inc. (NASDAQ: NUKK) recorded a 3.79 percent rise in closing price after finalizing the $14 million acquisition of Tiltan Software Engineering, an Israeli defense software firm noted for AI-integrated technologies embedded in defense projects. Despite the company’s robust strategic move, Benzinga’s Edge Stock Rankings report that NUKK’s price trends remain comparatively weak across all time horizons.

Ironwood Pharmaceuticals Inc. (NASDAQ: IRWD) also advanced 2.81 percent following the release of financial guidance for Fiscal Year 2026. The pharmaceutical firm projects Linzess U.S. net sales between $1.125 billion and $1.175 billion, alongside total revenue forecasts ranging from $450 million to $475 million. Adjusted EBITDA is anticipated to exceed $300 million. Benzinga’s rankings illustrate that IRWD sustains strong price trends and moderate valuations.

Brand Engagement Network Inc. (NASDAQ: BNAI) saw shares jump 8.22 percent after announcing a Vendor Services Project Agreement with a global advertising and communications agency. The stock exhibits weaker long-term price momentum but stronger medium- and short-term trends according to Benzinga’s analytics.

GH Research PLC (NASDAQ: GHRS) posted a notable 19.05 percent increase after announcing plans to update investors on the status of its FDA Investigational New Drug (IND) application and the progression of its Phase 3 clinical trial for GH001, a treatment targeting resistant forms of depression. GHRS scores highly in Benzinga’s Edge Stock Rankings for price momentum on all time scales.


Market Recap from the Previous Session

The prior Friday’s U.S. equity session revealed broad-based strength with major sectors such as Energy, Industrials, Materials, Utilities, Health Care, Financials, Real Estate, and Information Technology closing higher. Conversely, sectors including Consumer Staples, Communication Services, and Consumer Discretionary suffered declines. Index performance showed the Nasdaq Composite marginally down 0.03 percent at 23,235.63 points; the S&P 500 edged up 0.19 percent to 6,858.47; powered by the Dow Jones Industrial Average’s 0.66 percent gain closing at 48,382.39; and the Russell 2000 finishing up 1.06 percent at 2,508.22.


Analysts’ Insights on Market Outlook

Drawing from JPMorgan’s “Eye on the Market 2026 Outlook,” current forecasts convey a cautiously optimistic view of continued U.S. equity market strength, albeit challenged by certain headwinds. Technology and artificial intelligence sectors are identified as principal growth drivers. The report foresees a market trajectory resembling 2025’s, with potential intermittent corrections in the 10-15 percent range as a consequence of profit-taking or concern over growth prospects, yet anticipates concluding the year at elevated levels relative to the start.

The analysis highlights market concentration risks, noting that 65-75 percent of S&P 500 returns, profits, and capital expenditures since the advent of ChatGPT in 2022 emanate from 42 generative AI-linked companies. The tech sector’s heavy influence on economic growth is underscored, with capital investment in technology contributing between 40-45 percent of GDP growth over recent quarters.

Despite inflationary pressures from tariffs and labor shortages, consumer spending is projected to remain resilient in 2026, supported by tax policy adjustments. The report advises vigilance regarding the risks inherent in markets exhibiting pronounced concentration and valuations near record highs.


Upcoming Economic Data and Events

  • Monday morning will feature December’s ISM Manufacturing Index and auto sales data.
  • Tuesday includes remarks from Richmond Federal Reserve President Tom Barkin and the final December U.S. S&P Services PMI release.
  • Wednesday’s schedule provides December ADP employment figures, the ISM Services Index for December, November job openings, and October U.S. factory order data, alongside a Fed Supervision Vice Chair address.
  • Thursday delivers weekly initial jobless claims, October trade deficit and productivity data, and November consumer credit statistics.
  • Friday wraps the week with December U.S. employment figures, unemployment rate, wage data, October housing starts, January University of Michigan consumer sentiment, and additional commentary from Richmond Fed President Barkin.

Commodities and Global Market Brief

Monday’s early trading in commodities saw WTI crude oil futures virtually unchanged, adjusting slightly lower amid geopolitical developments. Spot gold prices increased by 2.33 percent, nearing $4,431.49 per ounce, approaching last recorded highs. The U.S. Dollar Index edged up 0.25 percent to around 98.67.

In digital assets, Bitcoin gained 1.3 percent, trading near $92,517 per coin. Internationally, Asian markets mostly advanced Friday, with the exception of India’s Nifty 50 index, while key indexes from China, Japan, Hong Kong, South Korea, and Australia registered gains. European equities also opened higher.

Risks
  • Geopolitical uncertainty from U.S. military action in Venezuela may cause market volatility and affect commodity prices.
  • Concentration of market returns among a limited number of AI-related companies presents risk of sharp corrections if growth expectations falter.
  • Inflationary factors such as tariffs and labor shortages continue to pose a risk to consumer spending and overall economic stability.
  • High market valuations near all-time highs may increase susceptibility to profit-taking and growth scares.
Disclosure
Education only / not financial advice
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Ticker Sentiment
SPY - positive QQQ - positive VRT - positive NUKK - positive IRWD - positive
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