US Stock Futures Jump on Iran Peace Deal Hopes

May 25, 2026 — US stock futures advanced in Asian trading on Monday as investors reacted positively to signs of progress in negotiations aimed at easing tensions between the United States and Iran. At the same time, oil prices dropped sharply amid expectations that supply disruptions in the Strait of Hormuz could gradually ease.

US Futures Rise Across Major Indexes

Futures tied to the major US stock indexes posted solid gains, with Dow Jones, S&P 500, and Nasdaq futures all moving higher during early trading hours. Investors welcomed reports suggesting that discussions surrounding a potential US-Iran peace agreement were making progress.

Market sentiment also improved after US President Donald Trump stated that a peace agreement had been “largely negotiated,” although he noted that discussions were still ongoing.

Oil Prices Slide on Easing Supply Concerns

Oil prices fell sharply as traders reduced concerns about possible disruptions to global energy supplies. Brent crude dropped below the $100-per-barrel level, while US crude also recorded steep declines.

The decline reflected hopes that shipping activity through the Strait of Hormuz could normalize if negotiations continue to improve. The route remains one of the world’s most important energy transit corridors.

Investors Shift Toward Risk Assets

The improved geopolitical outlook encouraged investors to move back into equities and other risk-sensitive assets. Asian and Gulf markets also recorded gains as lower oil prices helped reduce inflation concerns across global markets.

Analysts said markets remain highly sensitive to developments surrounding the Middle East conflict and future energy supply expectations.

Markets Await Further Negotiation Updates

Despite the optimism, uncertainty remains over whether both sides can finalize a long-term agreement. Investors continue monitoring geopolitical headlines alongside economic data and central bank policy expectations for additional market direction.