Futures Edge Up as Iran Hormuz Report Pressures Oil

U.S. stock futures were slightly higher Tuesday as oil prices fell on a report that Iran could reopen the Strait of Hormuz. At 7:12 a.m. ET, Dow futures were up 0.21%, while S&P 500 and Nasdaq 100 futures gained 0.03% and 0.05%, respectively.

The offer was conditional, not a confirmed agreement. A senior Iranian official told Reuters that Tehran could reopen the strait within seven days if Washington eased military pressure and lifted its blockade on Iranian ports.

The waterway is a major route for global energy shipments. Before the war began in late February, it carried about one-fifth of global oil and liquefied natural gas supplies, Reuters reported.

Oil benchmarks fell to their lowest levels since September 8. At 11:51 GMT, Brent futures were down 2.1% at $98.23 a barrel, while the expiring October WTI contract fell 2.59% to $93.30.

The market response remained fragile. Iran’s Fars News Agency later reported that sources denied the offer, and oil futures pared some losses after President Donald Trump spoke at the United Nations. Brent ultimately settled down 1.1% at $99.25.

A separate supply signal also weighed on crude. Saudi Arabia restarted its East-West pipeline and was preparing to resume exports from Yanbu on the Red Sea, Reuters reported. The route offers an alternative to shipping oil through Hormuz.

Lower oil can ease concerns that higher fuel costs will keep inflation elevated, a pressure watched by Federal Reserve policymakers. But futures’ small gains suggested investors were waiting for firmer evidence of diplomatic progress after Monday’s AI-led rally pushed the Nasdaq to a record close.