US stock futures declined by up to 0.8% on May 18, 2026, as investors awaited Nvidia’s earnings report amid rising crude oil prices, with Brent crude hitting $112 per barrel. The S&P 500 and Dow futures fell, reflecting concerns over the sustainability of the AI-driven market rally and geopolitical tensions between the US and Iran, according to livemint.com.
The market drop followed a previous session where major indices lost over 1%, pressured by technology stocks. Investors are closely watching Nvidia’s earnings for insights into the strength of AI-related demand and capital expenditure. The ongoing US-Iran stalemate has pushed oil prices higher, adding to market uncertainty. Subho Moulik, CEO of Appreciate, highlighted select US stocks like MP Materials and Eaton as short-term buys, given the surge in AI investments, as reported by livemint.com.
This development matters because the AI sector has been a key driver of the US stock market’s 8% year-to-date gain despite inflation and geopolitical risks. Rising oil prices amid the Middle East conflict add inflationary pressures that could affect corporate earnings and economic stability. Nvidia’s earnings are seen as a bellwether for the tech sector and AI market momentum, with investors seeking confirmation that the AI boom can sustain growth in the face of external challenges.
Looking ahead, market participants will focus on Nvidia’s earnings release for fresh guidance on AI demand and corporate spending. The trajectory of the US-Iran conflict and oil prices will also remain critical factors influencing market direction. Analysts expect continued volatility as investors digest these developments and adjust portfolios accordingly, according to livemint.com.