Trump delays deadline for strikes on Iran energy facilities, US stock futures rise

Investing.com - U.S. President Donald Trump extended the deadline for launching attacks on Iran’s critical energy infrastructure, sparking some hopes for de-escalation in the market regarding the war situation. U.S. stock index futures rose slightly on Thursday evening.

However, after The Wall Street Journal reported that the Pentagon is considering deploying an additional 10,000 troops to the Middle East, futures gains narrowed, despite Trump previously promoting peace negotiations with Tehran.

As of 8:39 a.m. Beijing time (20:39 Eastern Time), the S&P 500 futures rose 0.2% to 6,538.0. Nasdaq 100 futures increased 0.1% to 23,823.25, and Dow futures climbed 0.3% to 46,347.0.

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Futures rebounded after a significant decline during Wall Street’s main trading hours, as conflicting signals from U.S. negotiations heightened market uncertainty about conflict. The rebound in oil prices also added pressure, along with sharp declines in major tech stocks.

Report of troop deployment narrows futures gains

Earlier, Wall Street futures rose as much as 0.5%, but after The Wall Street Journal reported that the Pentagon is considering deploying 10,000 more troops to the Middle East, gains sharply narrowed.

These troops would join approximately 5,000 Marines and paratroopers already deployed in the region and could be positioned within striking range of Iran and its key oil export terminal at Khark Island.

The troop deployment report somewhat dampened market optimism about a potential ceasefire negotiation between the U.S. and Iran, despite Tehran earlier this week ruling out direct talks with Washington.

Trump extends deadline for Iran strikes by 10 days

Trump stated on social media that he has extended the deadline for attacking Iran’s energy infrastructure to April 6, more than a week beyond the original deadline of Friday.

Trump claimed that the Iranian government requested an extension and said negotiations with Tehran are progressing smoothly, though he did not provide details.

The president also said Iran has allowed 10 oil tankers to pass through the Strait of Hormuz — a critical shipping choke point controlled by Iran.

The deadline for attacking Iran’s energy infrastructure is conditional on Iran reopening the Strait of Hormuz, which supplies about 20% of the world’s oil consumption.

Conflicting signals from Iran cause Wall Street to fall, Nasdaq enters correction zone

On Thursday, Wall Street indices fell sharply as conflicting signals regarding the Iran war led investors to generally avoid risk assets. The rebound in oil prices also added pressure.

The Nasdaq Composite performed particularly poorly, closing more than 10% below its recent all-time high, entering correction territory.

Meta Platforms Inc. (NASDAQ: META) significantly dragged down the Nasdaq, falling 7% after two separate rulings found that the social media company harmed young users. Nvidia declined 4%, following the launch of a new data center chip by chip design firm Arm Holdings (NASDAQ: ARM), raising concerns about intensified competition in AI chips.

The S&P 500 dropped 1.7%, and the Dow Jones Industrial Average fell 1%.

Tehran announced it is reviewing Washington’s proposed 15-point ceasefire plan. However, senior Iranian officials largely ruled out direct talks with Washington, with Foreign Minister Amir Abdollahian stating that exchanging information through mediators does not constitute negotiations.

Iran also proposed its own five-point ceasefire plan, which includes demands for compensation from the U.S. and Israel, as well as implementing a toll system in the Strait of Hormuz.

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