U.S. equity futures advanced early Wednesday after reports indicated the United States and Iran are approaching an agreement to end hostilities. Market optimism was further fueled by President Donald Trump’s remarks citing substantial headway in negotiations with Tehran.
At 4:28 p.m. (Bangkok time), contracts tracking the S&P 500 rose 0.64%, while Nasdaq 100 futures gained 1.17%. Futures linked to the Dow Jones Industrial Average edged up 0.59%.
The uptick followed President Trump’s announcement of a halt to “Project Freedom,” the U.S. initiative aimed at escorting vessels through the Strait of Hormuz. Trump pointed to significant advances toward a comprehensive agreement with Iranian officials as the basis for suspending the program.
Market sentiment was further lifted after U.S. Defense Secretary Pete Hegseth indicated that the ceasefire remains stable. Hegseth noted the safe passage of two U.S. commercial vessels, accompanied by American naval ships, through the strategic Strait of Hormuz, affirming security in the area.
On Wednesday late afternoon in Bangkok, Brent crude lost 6.43%, falling to $102.81 per barrel. West Texas Intermediate registered an even larger slide, dropping 7.24% to $94.87. These declines followed news that U.S. officials believe a concise memorandum of understanding with Iran is within reach, as reported by Axios. The draft would lay a foundation for broader nuclear discussions aimed at bringing an end to the ongoing war.
Tech stocks dominated post-market trading. Advanced Micro Devices saw its shares jump nearly 15%, propelled by earnings and a positive outlook for the second quarter. Super Micro Computer shares soared 18% after issuing higher-than-expected guidance for its fiscal fourth quarter.
On Tuesday’s regular session, the S&P 500 gained 0.81% and the Nasdaq climbed 1.03%, both reaching fresh intraday and closing highs. The Dow advanced by 0.73%. Investor confidence has been reinforced by strong corporate earnings; about 85% of S&P 500 firms that have reported outperformed profit forecasts, and around 77% delivered sales exceeding expectations.
Labor market indicators have received heightened attention this week. The JOLTS report was published on Tuesday, with the ADP’s private payroll report scheduled for Wednesday, followed by job cuts data from Challenger, Gray & Christmas on Thursday.
Wednesday’s pre-market earnings announcements from Walt Disney, CVS Health, Kraft Heinz, Marriott, and Uber Technologies are also on investor watchlists.
