US Stock Index Futures Fall as Iran Tensions Escalate

US stock index futures took a hit on Monday as investors remained cautious due to escalating tensions between the US and Iran. The Treasury Department has warned of an 'economic D-Day' against Iran, which could lead to economic sanctions targeting its trade partners. This development comes ahead of Nvidia's quarterly results and a closely watched inflation report later this week.

The US has said it could roll out economic sanctions targeting Iran's trade partners, in what it called 'the greatest financial offensive ever.' Treasury Secretary Scott Bessent warned of an 'economic D-Day' in an opinion piece published in the Financial Times. The Treasury Department announced support measures to help stabilize the market.

Investors are also keeping a close eye on Federal Reserve Chair Kevin Warsh's speech at the Jackson Hole symposium later this week, where he will provide clues on policymakers' reading of the Treasury's rescue efforts and the latest economic data.