US stock futures climbed on Thursday, October 1, as advances among chipmakers and consulting firms helped offset ongoing worries regarding escalating borrowing costs and higher oil prices. Premarket trading found support in strong guidance from Micron Technology and Accenture.
At the same time, Treasury yields backed off from their highest marks since 2002 while market participants awaited upcoming economic data and commentary from Federal Reserve representatives.
Wall Street Futures Recover After Early Weakness
By 7:38 a.m. ET, Dow futures had added 41 points, or 0.08%. S&P 500 futures increased by 17.75 points, or 0.23%, while NASDAQ 100 futures advanced 164.25 points, or 0.54%. The technology-centric NASDAQ paced the rebound as traders scooped up artificial intelligence-related equities.
This turnaround came on the heels of a softer premarket start that saw Dow futures drop past 0.5%. Direction shifted as government bonds drew renewed buying interest. Reuters noted that the benchmark 10-year Treasury yield softened to approximately 5.27% following a brief touch of 5.34%, which marked its loftiest level since 2002.
Even so, market participants continued grappling with anxiety over inflation, national debt, and energy expenses. The Cboe Volatility Index—an indicator of expected stock-market turbulence—touched a two-week peak before settling at 16.31. September concluded with losses for both the Dow and S&P 500, though technology issues propelled the NASDAQ to a positive finish.
Micron and Accenture Support Premarket Gains
Micron projected quarterly revenue that beat analyst forecasts alongside USD 32 billion in customer commitments tied to supply deals. This outlook bolstered broader semiconductor equities, even though Micron shares dipped roughly 0.9% after nearly quadrupling over the course of the year. NVIDIA picked up 0.7%, AMD moved up 0.5%, and Lam Research climbed 2.2%.
Alphabet also pushed up 1.9% following the unveiling of its Gemini 4 artificial intelligence architecture. These gains built upon the technology sector’s resilience in September, when enthusiasm for AI drove a 1.9% increase for the NASDAQ. By contrast, the S&P 500 slipped 0.5% and the Dow retreated 4.3%.
Consulting shares delivered additional momentum. Accenture surged 16.4% after issuing a full-year revenue growth projection that beat expectations. Cognizant grew 8.3%, and IBM added 5.9%. These moves provided futures with a broader base of support outside of chip manufacturers, even as elevated Treasury yields continued to weigh on other market segments.
Oil Prices Rise as Washington Presses Europe
Crude prices pushed upward amid tightening fuel supplies and the ongoing conflict involving Iran. Brent crude gained 2.1% to reach USD 100.10 a barrel, whereas US benchmark crude advanced 1.5% to USD 91.78. Climbing energy costs remained a focal point for investors tracking inflation trends and the Federal Reserve’s next decision.
Additionally, Reuters reported that Washington had pressured France and Germany to tap emergency diesel reserves or potentially face a US diesel export ban. According to one source, the administration sought an EU release of 120 million barrels distributed over a six-month window. European representatives were holding discussions regarding prospective releases on Thursday.
US Energy Secretary Chris Wright highlighted existing supply bottlenecks, stating, “We’ve lost some diesel exports from the Middle East, although we’re restoring those, and we’ve lost diesel exports from China.” France’s energy ministry opted not to comment, while Germany’s economy ministry did not offer an immediate response.
Investors Await Jobs Data and Federal Reserve Comments
Traders factored in a 63% probability that the Federal Reserve would keep interest rates steady later in the month, according to data from CME Group’s FedWatch Tool. Wednesday’s tamer inflation figures dialed back expectations for an immediate rate hike. Nevertheless, inflation continued to hover above the Fed’s 2% objective, keeping a December increase on the table.
Market participants looked ahead to Thursday releases covering weekly unemployment claims and the Institute for Supply Management’s manufacturing index, with September’s employment report slated for Friday. Remarks from Federal Reserve officials—including Christopher Waller, Philip Jefferson, and Michelle Bowman—were also on the agenda. Nike was scheduled to release its earnings results after the closing bell on Thursday.
Among individual equities, Constellation Energy rose 3% after executing a 20-year power purchase agreement with Amazon. Rocket Lab climbed 4.6% following the announcement of a 20-launch agreement with Synspective, which stands as its largest commercial Electron launch deal to date.
Ultimately, US stock futures commenced October in positive territory, driven by AI and consulting names while Treasury yields receded from session highs. Yet, with Brent crude trading above USD 100 and ongoing apprehension regarding government debt, inflation and borrowing expenses remained front and center. Investors continue to monitor employment figures, manufacturing metrics, and Federal Reserve commentary for further insight into macroeconomic conditions and monetary policy.
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