U.S. stock index futures surged on Sunday evening after the United States and Iran confirmed they had reached a peace agreement aimed at ending hostilities and restoring key shipping routes across the Middle East. The development fueled optimism among investors, driving futures higher as markets prepare for a closely watched Federal Reserve meeting this week.
As of Sunday evening, S&P 500 Futures climbed 0.8% to 7,557.75, while Nasdaq 100 Futures jumped 1.3% to 30,337.74. Dow Jones Futures also gained 0.6%, reaching 51,917.0. The gains followed a strong performance on Wall Street last Friday, supported by easing geopolitical concerns and continued investor appetite for growth stocks.
U.S. President Donald Trump announced that a peace deal with Iran had been finalized, adding that the strategically important Strait of Hormuz is expected to reopen in the coming days. Iranian Deputy Foreign Minister Kazem Gharibabadi also confirmed that both countries had completed a memorandum of understanding, with a formal signing ceremony scheduled for Friday in Switzerland.
While specific details of the agreement remain limited, market participants expect the deal to restore shipping activity through the Strait of Hormuz and reduce disruptions to global energy supplies. The agreement could also ease inflationary pressures that intensified during months of conflict and shipping interruptions across the region.
Investor sentiment has improved significantly on expectations that lower energy prices could support economic growth and eventually create room for future Federal Reserve rate cuts. However, policymakers are widely expected to leave interest rates unchanged at this week’s meeting.
The upcoming meeting will be the first led by Federal Reserve Chair Kevin Warsh. Investors will closely monitor the central bank’s commentary for clues regarding future monetary policy, especially as inflation remains elevated and the U.S. labor market continues to show resilience.
Meanwhile, SpaceX remained a major market focus after soaring more than 19% during its trading debut. The aerospace company raised $75 billion in what became the largest IPO in U.S. history, pushing its market valuation to approximately $2 trillion and making CEO Elon Musk the world’s first trillionaire.


Oil Prices Surge as U.S.-Iran Diplomacy Hopes Fade
Oil Prices Jump 3% as Houthi Attack Revives Supply Fears
Australia Unemployment Hits Five-Year High Despite Strong Jobs Growth
Fed Unveils Stablecoin Rules Under GENIUS Act
Gold Drops Over 1% as Dollar, Treasury Yields Surge on Fed Rate Hike Bets
Mexico-US Trade Talks Delayed to October as Tariff Negotiations Continue
South Korea, US Discuss Warship Building Cooperation
US 10-Year Treasury Yield at 6% Emerges as New Market Risk Threshold
US Stock Futures Fall as Treasury Yields Surge Ahead of Trump-Xi Summit
Wall Street Falls as Treasury Yields Surge, Oil Rebounds on Iran Tensions
Asian Stocks Fall as Bond Yields Surge Ahead of Trump-Xi Summit
US Dollar Hits Two-Month High as Fed Rate Hike Bets Rise
China’s ‘Lipstick King’ Says AI Won’t Replace Livestream Hosts
US, China Extend Trade Truce to Jan. 10 Ahead of Trump-Xi Summit
Russian Envoy Dmitriev Heads to US for Ukraine Talks
Soybean Futures Slip as Traders Await Trump-Xi Trade Signals
Japan Private-Sector Growth Slows as Domestic Demand Weakens 



