U.S. Stock Futures Flat After Dow Record Close on U.S.–Iran Deal; Asian Markets Hit Record Highs

U.S. stock futures were mostly unchanged on Tuesday following a strong rally in the previous session that pushed the Dow Jones Industrial Average to a fresh record close. The upbeat momentum in global markets was largely driven by optimism over a reported diplomatic breakthrough between the United States and Iran, which eased geopolitical tensions and boosted investor confidence.

During Monday’s trading session, the Dow surged 468.77 points, or 0.92%, setting a new all-time closing high, while also touching an intraday peak. The S&P 500 climbed 1.65%, and the Nasdaq Composite outperformed with a strong 3.07% gain, reflecting renewed appetite for risk among investors. Early Tuesday, Dow futures edged up slightly, while S&P 500 futures stayed flat and Nasdaq 100 futures slipped marginally.

Across Asia, markets reflected the same wave of optimism. Japan’s Nikkei 225 reached a new record intraday high before closing modestly higher, while South Korea’s Kospi jumped more than 2%. However, gains were uneven, with Hong Kong’s Hang Seng Index dropping 1.64% and China’s CSI 300 also slipping slightly. European markets opened cautiously higher, with the Stoxx 600 index rising 0.25% led by banking and industrial stocks.

The rally was fueled by reports that the U.S. and Iran had reached a deal to end hostilities in the Middle East, a development that significantly eased fears of prolonged conflict. Pakistan’s Prime Minister Shehbaz Sharif confirmed that both sides had agreed to halt military operations, while U.S. President Donald Trump stated that the Strait of Hormuz would reopen, helping push oil prices down nearly 5%. Vice President JD Vance also suggested the key shipping route would remain open long-term under a toll-free arrangement.

Looking ahead, investors are closely watching upcoming U.S. economic data, including housing starts and import/export price indexes for May, which could provide fresh signals on inflation and growth trends. Market analysts expect short-term volatility to continue, but overall sentiment remains supported by resilient economic indicators and easing global tensions, according to commentary shared on CNBC.

source: cnbc