Market Summary - April 6, 2026

Wall Street Rebound Continues

As the US market prepares to open, index futures show a slight pullback from earlier gains. The Nasdaq 100 futures have decreased from approximately 24,380 to 24,300 points, although they remain up over 0.7% for the day. Investors are closely watching the upcoming US ISM Services data, scheduled for release at 3 PM GMT, alongside ongoing negotiations between US and Iranian officials, mediated through Pakistan. Iran has initially declined to reopen the Strait of Hormuz in exchange for a ceasefire, but discussions are still in progress. A critical deadline has been set by Donald Trump for April 8 at 1 AM GMT, which could lead to either escalation or de-escalation of the conflict.

Market Resilience Amid Conflict

Despite the tensions arising from the conflict with Iran, equity markets have shown surprising resilience, with no significant sell-off reported. Raymond James attributes this stability to strong macroeconomic data from early 2026 and the current structure of the oil market, where elevated prices are primarily short-term. This has limited downside pressure on the markets, but the upcoming deadline set by Trump will be a crucial test for investors. Technically, Nasdaq 100 futures are still within a downward price channel and trading below the 200-session moving average, which is about 200 points higher.

Ed Yardeni's Perspective on the S&P 500

Ed Yardeni, founder of Yardeni Research, maintains a positive outlook on the S&P 500, suggesting that current valuations are attractive. Historically, equities have performed well following major US military conflicts, with the S&P 500 rising between 31% to 44% two years after conflicts such as World War II and the Iraq War. Yardeni notes that the forward P/E ratio peaked at 23 last October but has since decreased by approximately 15%, while forward earnings have increased by 12.7%, reaching record highs. This indicates that the decline in valuations is due to multiple compression rather than weakening fundamentals. Analysts have not significantly revised down earnings expectations and continue to raise forecasts, with the forward 12-month P/E now at 19.8, slightly above the 10-year average of 18.9.

Corporate News Highlights

• Netflix (NFLX.US): Shares rose nearly 2% in pre-market trading after Goldman Sachs upgraded the stock from "neutral" to "buy," citing strong content acquisition and development leadership.
• Soleno Therapeutics: Shares surged approximately 40% following an announcement from Neurocrine Biosciences regarding an acquisition deal valued at around $2.9 billion.
• Twilio: Shares gained over 3% after Jefferies upgraded the stock from "hold" to "buy," highlighting Twilio's role in developing voice-based AI solutions.