The benchmark S&P 500 and the blue-chip Dow were set for a modestly higher open on Tuesday as investors awaited potential talks between the United States and Iran that could end their six-month-old conflict.
Investors weighed comments by a senior Iranian official to Reuters that Tehran could reopen the Strait of Hormuz within seven days if the US eases pressure. Saudi Arabia also restarted operations at its East-West Pipeline, according to three sources.
Brent crude LCOc1 eased 1.7% following the latest developments, but was still within reaching distance of $100 a barrel, while the yield on the benchmark 10-year Treasury note US10YT=RR was at 4.9% - both hovering near levels that spurred market direction in recent days.
"Markets are really seeing oil as the key macro variable here, where both interest rates and the broader market are very much correlated to what's happening in oil and on the geopolitical front," said Lale Akoner, global market strategist at eToro.
US-Iran talks are expected on the sidelines of this week's United Nations General Assembly meeting, followed by a US-China summit on Thursday. Traders hope it will yield a resolution on the Middle East conflict and extend the trade truce with Beijing. President Donald Trump is also scheduled to meet several world leaders later in the day.
At 08:29 a.m. ET, Dow E-minis YMcv1 were up 208 points, or 0.4%, and S&P 500 E-minis EScv1 were up 6 points, or 0.08%. Nasdaq 100 E-minis NQcv1 were down 8 points, or 0.03%.
SPY•
