Stock futures fall after U.S. strikes Iran; Wall Street heads for winning month: Live updates

JUST IN: US stock futures fall after American strikes on Iran, though Wall Street still heads for a winning month with the Dow up 2.1% in August, on pace for a fifth straight monthly gain.

Stock futures are down this morning, and the reason is Iran.

The US struck rocket launchers on Larak Island in the Strait of Hormuz over the weekend, and you can see the kind of escalation markets hate right here. Dow futures dropped 155 points, oil popped, US crude is at 85 dollars and Brent's knocking on 90.

And yet, here's what got me. Walk onto the trading floor and the mood is still a winning one. The Dow is up 2.1 percent in August, its fifth straight monthly gain, the S&P up 3, the Nasdaq up 4, all fuelled by AI stocks. Nvidia climbed 8 percent, Micron 13.

So Wall Street is closing out a month where it hit all time highs while a war widened and Kevin Warsh talked up rate hikes at Jackson Hole. Jobs report lands Friday. If missiles and a hawkish Fed can't dent this rally, I'm genuinely not sure what can.

This is Sara White, reporting for HIT.