Chip Rally Pauses as Iran Hormuz Offer Sends Oil Lower

U.S. stock futures were little changed early Tuesday, September 22, as chip shares eased after a sharp rally. December S&P 500 futures rose 0.05%, while Nasdaq 100 futures slipped 0.02%. Oil fell about 2% after a report that Iran offered to reopen the Strait of Hormuz.

The offer, reported by Japan’s Kyodo News Agency, was conditional. A senior Iranian official told Reuters that Tehran could reopen the waterway within seven days if Washington eased military pressure and lifted its blockade on Iranian ports.

The proposal had reportedly been sent to the United States through mediators on September 16. It was not confirmation of an agreement or a set date for reopening the strait.

The news extended a rally in crude prices that had already lasted several sessions. Brent crude fell below $99 a barrel, while Saudi Arabia’s East-West pipeline offered another possible route for getting oil to export markets.

Stocks were taking a breather after Monday’s broad advance. The Nasdaq Composite gained 2.3% to a record, the S&P 500 rose 1.5%, and the Dow Jones Industrial Average added 0.7%, according to Associated Press figures.

Chipmakers had powered much of Monday’s climb. AMD rose about 10%, Intel gained more than 12%, and Arm Holdings jumped as enthusiasm over Meta’s new Muse AI product lifted hopes for demand for chips and data-center equipment.

That momentum faded before Tuesday’s open. AMD, Arm and Marvell Technology each slipped about 1% in premarket trading, while investors weighed whether the AI trade could extend its gains.

For markets, cheaper oil may ease pressure from energy costs, but the diplomatic signal remains uncertain. Traders were watching for developments at the United Nations General Assembly, where U.S. and Iranian officials could pursue talks through mediators. The next test is whether the conditional offer leads to steps that restore shipping through Hormuz.