U.S. stock index futures moved higher Tuesday night after President Donald Trump announced a temporary pause in “Operation Freedom,” a military initiative aimed at reopening the Strait of Hormuz. Investors reacted positively to Trump’s statement that the suspension could help finalize a potential agreement with Iran, fueling optimism about easing geopolitical tensions in the Middle East.
By 19:39 ET, S&P 500 Futures gained 0.4% to 7,315 points, while Nasdaq 100 Futures jumped 0.8% to 28,363 points. Dow Jones Futures also advanced 0.2% to 49,510 points. The gains followed a strong Wall Street session that pushed major U.S. indexes to fresh record highs.
Trump stated that negotiations with Tehran had made “great progress,” suggesting that a comprehensive Iran deal could be close. Although military operations in the Strait of Hormuz have been paused temporarily, the U.S. will reportedly maintain its naval blockade against Iran. Defense Secretary Pete Hegseth also indicated earlier that the campaign was intended to be temporary, helping boost investor confidence.
Recent tensions in the region had raised concerns after Iran allegedly targeted several vessels and launched missile strikes toward the United Arab Emirates. In response, U.S. forces reportedly struck Iranian ships, increasing fears of broader conflict and disruptions to global oil supply routes.
Despite geopolitical uncertainty, Wall Street continued its rally. The S&P 500 closed 0.8% higher at a record 7,259.23, while the Nasdaq Composite surged 1% to another all-time high. The Dow Jones Industrial Average climbed 0.7% to 49,298.25.
Technology stocks also supported the market rally. Alphabet shares reached record highs after reports revealed a massive $200 billion spending commitment tied to AI startup Anthropic. AMD shares soared more than 15% in after-hours trading after the chipmaker posted stronger-than-expected quarterly earnings and issued upbeat guidance, highlighting continued growth in artificial intelligence demand.
Investors are now watching upcoming earnings reports from Arm Holdings, Disney, Uber, McDonald’s, Gilead Sciences, and McKesson, along with Friday’s closely watched U.S. nonfarm payrolls data.


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