(RTTNews) - After the retreat recorded in the last session, markets appear headed for additional weakness during early Friday action. Index futures currently signal a softer start, with S&P 500 contracts falling 0.9 percent.

Technology shares are expected to pace the retreat, mirrored by a 1.9 percent decline in Nasdaq 100 futures.

A sharp slide in Netflix (NFLX) shares is poised to pressure the group, as the streamer drops 11.3 percent in pre-market activity.

The company reported quarterly results near forecasts yet issued soft guidance for the third quarter.

Valuation concerns may further weigh on the sector ahead of upcoming reports from Alphabet (GOOGL), Amazon (AMZN), Microsoft (MSFT) and Meta Platforms (META).

Downward pressure also stems from a sharp rise in crude prices, with U.S. oil futures climbing back above 80 dollars per barrel amid heightened tensions in the Middle East.

Tehran conducted strikes on multiple Gulf and regional targets following repeated U.S. actions against Iran tied to control of the Strait of Hormuz.

Just before the bell, the Federal Reserve will issue its June industrial production report, with output forecast to increase 0.2 percent after a 0.1 percent gain in May.

The University of Michigan will also release its preliminary July consumer sentiment reading shortly after the open, with the index projected to reach 51.3 from 49.5 in June.

Stocks finished mostly lower on Thursday, reversing gains from the prior two sessions as major averages posted declines led by the Nasdaq.

The averages recovered modestly into the close yet remained in negative territory, with the Nasdaq falling 387.28 points or 1.5 percent to 25,881.95, the S&P 500 slipping 38.63 points or 0.5 percent to 7,533.77 and the Dow easing 105.67 points or 0.2 percent to 52,552.97.

In Asia, regional markets traded mostly lower on Friday, with Japan's Nikkei 225 plunging 4 percent and China's Shanghai Composite dropping 3.1 percent.

European shares also moved lower, as the French CAC 40 fell 0.7 percent and the German DAX declined 0.6 percent, while the U.K.'s FTSE 100 stayed nearly flat.

Crude oil futures surged 2.02 dollars to 80.97 dollars a barrel after falling 0.65 dollars to 78.95 dollars on Thursday. Gold futures slipped 8.60 dollars to 3,983.50 dollars an ounce following a 59.70 dollar drop to 3,992.10 dollars in the prior session.

The dollar traded at 162.39 yen versus 162.38 yen at the prior New York close, while the euro stood at 1.1428 dollars compared with 1.1441 dollars yesterday.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.