[MARKET UPDATE] US equity futures drop around 1% at the reopen and oil futures are up by around 7%, while spot gold declined 1.7%, following failed US-Iran negotiations in Pakistan and with US President Trump announcing a blockade in the Strait of Hormuz

The drop in US equity futures alongside the rise in oil prices reflects heightened geopolitical tensions following the unsuccessful US-Iran negotiations and Trump's blockade announcement in the Strait of Hormuz. This situation typically supports crude oil prices due to supply concerns while weighing on equity markets as investors grow wary of increased instability.