US futures moved higher early Tuesday as the price of oil reversed course after President Donald Trump said that he is willing to end the Iran war, even if the Strait of Hormuz remains under blockade.
At 4:30 p.m. (Bangkok Time), S&P 500 futures were up 0.87%, Nasdaq 100 futures gained 0.8%, and Dow Jones Industrial Average futures rose 0.9%.
Markets responded after a report indicated that President Donald Trump signaled openness to de-escalating U.S. military actions in the Middle East, even if disruptions at the Strait of Hormuz continued. The easing tension helped calm investor fears that had weighed on sentiment during the previous session, when heightened geopolitical risks sent anxiety gauges such as the CBOE Volatility Index above 30 and pushed crude prices higher.
Oil prices had climbed sharply after reports emerged on Tuesday that an Iranian attack targeted a Kuwaiti oil tanker off Dubai’s coast. However, authorities in Dubai confirmed that there were no injuries and all 24 crew members were unharmed.
In monetary policy updates, Federal Reserve Chair Jerome Powell indicated that inflation pressures appear contained, diminishing prospects for further rate increases. He also expressed that risks of wider instability in private credit remain limited.
Investors are awaiting new economic indicators due on Tuesday, including March data on consumer confidence and the latest Job Openings and Labor Turnover Survey, which are expected to offer further perspective on current economic conditions.
