U.S. stock futures were pointing to a lower open Tuesday, adding to Monday's sell-off that broke the Dow Jones Industrial Average's eight-session winning streak. Stocks held up pretty well Monday, considering the big spike in oil after Saturday's attacks on Saudi crude facilities. U.S. oil prices, after surging nearly 14.7% on Monday, were dropping about 1.5% Tuesday to about $62 per barrel. J.P. Morgan's chief quant said crude prices won't hurt stock prices unless they hit the $80 to $85 per barrel range. As the Federal Reserve begins its two-day September meeting Tuesday, market expectations for no interest rate cut were rising from near zero particularly last week to about 34% odds.
Satellite photos released by the U.S. government and DigitalGlobe reveal the surgical precision with which Saudi Aramco's oil facilities were attacked early Saturday. The strikes, which unidentified U.S. officials have said involved at least 20 drones and several cruise missiles, forced Saudi Arabia to shut down half its oil production, representing about 5% of the world's global daily output. President Donald Trump said Monday it's looking like Iran was responsible but he's in no rush to respond militarily to the attack.
With Washington looking at Tehran for the attack on Saudi Arabia, Iran's supreme leader said Tuesday his country will never hold talks with America. Those comments come ahead of U.N. General Assembly meetings this week and next. Speculation surrounding talks between the U.S. and Iran began when Iran's foreign minister met with European diplomats at the G-7 summit in France last month. Trump has voiced his willingness to talk with the Iranians several times, but Iranian officials have demanded that sanctions be lifted first.
Trump is making a rare visit to California, a Democratic stronghold where he's expected to rake in millions of dollars during a series of reelection fundraisers. The president's visit Tuesday and Wednesday signals that despite the state's decidedly leftward swing, plenty of wealthy Republicans support his reelection bid. Trump continues to rake in tons of cash more than a year out from the November 2020 election, with his campaign and the Republican National Committee pulling in more than $210 million this year, Federal Election Commission records show. That's more than the combined total that all the Democrats seeking to replace him have raised.
After a series of setbacks and a massive valuation cut, the parent company of WeWork is delaying plans for its initial public offering. The U.S. office-sharing start-up was getting ready to launch an investor road show for its IPO this week, before making the last-minute decision on Monday to stand down, sources told Reuters. The company was concerned that its stock market debut would be snubbed by many investors. SoftBank, WeWork's biggest outside investor, had been reportedly pushing to shelve the IPO.
— AP and Reuters contributed to this report.