United States stock futures moved higher on Tuesday night (Wednesday AEDT), supported by reports that Washington has presented Iran with a proposal aimed at ending the ongoing conflict in the Middle East.
By 9:50 am AEDT (10:50 pm GMT), futures tracking the Dow Jones Industrial Average and the S&P 500 were both up 0.7%, while Nasdaq 100 futures advanced 0.8%.
During Tuesday’s regular trading, U.S. benchmarks closed lower amid persistent geopolitical uncertainty and rising oil prices.
The Dow Jones Industrial Average dropped 84.41 points, or 0.2%, the S&P 500 declined 0.4%, while the Nasdaq Composite fell 0.8%.
Market sentiment improved overnight after comments from U.S. President Donald Trump, who said the United States is “in negotiations right now” with Iran. He added that Tehran is “talking sense” and indicated that it may be willing to reach a peace agreement.
Further optimism was driven by a report from The New York Times, which stated that the United States has delivered a detailed peace proposal to Iran.
According to the report, which cited two unnamed officials, the 15-point plan was conveyed via Pakistan.
The development raised hopes that diplomatic efforts to resolve the conflict could gain traction, following mixed signals earlier in the week.
On Monday, U.S. equities had rallied strongly after President Trump said on Truth Social that the two countries had held “very good and productive conversations regarding a complete and total resolution of our hostilities in the Middle East”.
However, Iranian state media later denied that direct talks had taken place.
Despite the gains in futures trading, markets remain sensitive to headlines surrounding the conflict, with investors closely monitoring any signs of escalation or progress in negotiations.
Looking ahead, attention will turn to upcoming corporate earnings, with Chewy and Paychex scheduled to report results before the opening bell.
Economic data will also be in focus, particularly the February readings for U.S. export and import price indexes, which may offer further insight into inflationary pressures within the global economy.
