Wall Street set to nudge into the red after choppy Wednesday session

• Oil prices continued falling after President Trump announced Venezuela would ship up to 50 million barrels of crude to the US, with Washington signaling long-term control over the country's oil output
• A Supreme Court opinion on the legality of Trump-era tariffs is expected as soon as Friday, marking the first serious legal challenge to the levies
• The December jobs report due Friday is expected to be closely watched as one of the most important economic data points in an otherwise light calendar

Market Summary: Wall Street Poised for Decline Amid Economic and Political Uncertainty

Market Overview:

US stock futures edged lower Thursday morning, with Dow Jones futures down 0.35% and S&P 500 and Nasdaq 100 futures declining 0.2%. This follows a choppy Wednesday session that ended multi-day rallies, with the Dow and S&P 500 closing in the red despite reaching fresh intraday highs.

Key Catalysts:

*Oil Markets:* Crude prices continued falling after President Trump announced Venezuela would ship up to 50 million barrels to the US, with Washington signaling long-term control over Venezuelan oil output.

*Legal Developments:* Investors are watching for a Supreme Court opinion on Trump-era tariffs expected as early as Friday, representing the first major legal challenge to these levies.

*Economic Data:* The December jobs report, due Friday, is positioned as one of the most critical economic indicators in an otherwise light calendar week.

Sector Focus:

The tech sector remains in focus as CES 2026 continues, with artificial intelligence dominating discussions among executives and policymakers.

Market Sentiment:

While markets have absorbed geopolitical tensions relatively well, investor mood is becoming increasingly fragile as multiple catalysts converge. The cautious tone reflects uncertainty around legal challenges, economic data, and ongoing policy developments.

Outlook:

The combination of the jobs report and potential Supreme Court ruling on tariffs could drive significant market volatility heading into the weekend, with traders positioning defensively ahead of these key events.