Why did U.S. futures drop in the stock market today?

Futures fell as traders reacted to reports of strikes on Iran, which pushed oil higher and lifted the VIX to 2026 highs. Higher energy costs can pressure margins and renew inflation worries, reducing odds of near-term rate cuts. That risk-off mix hit growth sectors first.

How do oil spikes affect inflation and rates?

An oil prices spike raises transport and input costs, which can filter into consumer prices. If inflation expectations rise, central banks may keep rates higher for longer. That supports value, cash flow, and dividends over long-duration growth until price pressures ease again.

What should Canadian investors watch most closely this week?

Track crude prices, the VIX, and sector breadth on the TSX. Energy strength can offset weakness in airlines and consumer cyclicals. Also monitor North American rate expectations and credit spreads. If volatility cools while earnings guidance holds, dip-buying risk may improve.

Is it smart to buy the dip in the S&P 500 now?

Use a staggered plan. Start small, add on strength above key resistance, and cut fast if support breaks. Focus on resilient cash generators. Consider hedges or covered calls. A patient approach fits a headline-driven market where geopolitical risk can shift quickly.

Global Market Insights

^GSPC Today, March 2: Oil Spike on Iran Strikes Slams Stock Futures

ByDanny Kontos March 2, 2026

The stock market today opened on a risk-off footing as S&P 500 futures slid following reports of U.S.-Israeli strikes on Iran. Volatility spiked, with the VIX touching 2026 highs, while oil prices jumped and gold advanced. For Canadian investors, this backdrop matters. Energy strength may support the TSX, but higher fuel costs and sticky inflation can weigh on growth shares. We review what this means for ^GSPC, sector rotation, and near-term technicals to set up the week.