The US stock market is likely to open Tuesday’s session, March 24, with mild losses as crude oil prices rebound after Iran denied holding talks with the United States to end the war in the Gulf, while reportedly continuing its barrages targeting Israel and Gulf Arab states, keeping tensions in West Asia elevated.
Futures of the three key indices — the Dow Jones Industrial Average, S&P 500, and Nasdaq — are trading with losses of 0.1%–0.2%.
In the previous session, all the major averages rose more than 1% after US President Trump signalled a delay in strikes on energy infrastructure for five days, which was seen as a potential step toward de-escalation.
He also said that the US and Iran had very good and productive conversations over the last two days regarding a complete and total resolution of hostilities in the Middle East. However, Iran reportedly rejected Trump’s claims, with top officials in Tehran stating that no discussions had taken place with the US, while attacks continued for the 25th day on Tuesday.
“No negotiations have been held with the US,” Iranian parliament Speaker Mohammad Bagher Qalibaf posted on X, adding that “fake news is used to manipulate the financial and oil markets.”
Trump initially set a deadline of late Monday, Washington time, for Iran to reopen the Strait of Hormuz or face attacks on its power plants, but later extended the deadline by five days.
Meanwhile, the exchange of missiles in West Asia has extended into the 25th day on Tuesday, as a gas pressure-regulation station and an associated administrative building were reportedly targeted in Iran’s central Isfahan province in recent US–Israeli attacks, the semi-official Fars news agency reported.
Israeli Prime Minister Benjamin Netanyahu also said Israel will continue to strike Iran and Lebanon even as the US considers a ceasefire. Iran also launched a new wave of missiles at Israel.
On the data front, investors will watch a flash estimate of S&P Global’s gauge of business activity in March, alongside comments from Fed Governor Michael Barr.
Crude prices rebound; Brent is back above $100
Oil prices briefly fell below $100 a barrel after Trump claimed his government was in talks to end the war.
However, that respite was short-lived, with Brent crude, the international benchmark, rising back to $104 a barrel in morning trading, up more than 40% since Israel and the US began the war on February 28.
WTI crude futures, too, jumped nearly 5% to the day’s high of $92.26 a barrel. Renewed tensions risk keeping oil prices elevated, potentially stoking inflation and reinforcing expectations that policymakers may delay easing or even tighten policy further.
(With inputs from Reuters, AP)
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