U.S. stock futures pointed higher on Thursday, indicating a stronger start for Wall Street after equities sold off sharply following the Federal Reserve’s latest policy decision.
Investor sentiment improved after the United States and Iran formally signed a preliminary agreement aimed at ending the conflict in the Middle East, easing concerns over energy supplies and global economic stability
U.S. and Iran Formalize Framework for Peace Talks President Donald Trump and Iranian President Masoud Pezeshkian have signed a memorandum of understanding that establishes a framework for negotiations toward a permanent peace agreement. The accord takes effect immediately and includes the reopening of the Strait of Hormuz by Iran and the removal of the U.S. naval blockade on Iranian ports. Under the 14-point agreement, both countries will begin negotiations over the next 60 days in an effort to secure a lasting settlement.
Oil Prices Extend Decline The prospect of renewed energy flows from the region continued to pressure crude prices lower. Oil futures moved closer to levels seen before the conflict erupted in late February, reflecting expectations of improved supply conditions and reduced geopolitical risk. “That has huge significance for inflation and interest rates, as well as business, consumer and investor sentiment,” said Russ Mould, investment director at AJ Bell. “It takes the pressure off industries and households and is hugely positive for global economic growth.” Intel Leads Pre-Market Gains Technology stocks appeared poised to benefit from the improved risk environment, with Intel (NASDAQ:INTC) rising 8.5% in pre-market trading. The advance followed comments from Trump on Truth Social stating that Apple (NASDAQ:AAPL) has agreed to work with Intel on designing and manufacturing chips in the United States.