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Stock futures rose on Tuesday, driven by strong quarterly results from companies such as Caterpillar and Palantir Technologies, as well as optimism surrounding a potential U.S.-Iran deal to reopen the Strait of Hormuz. Dow Jones Industrial Average futures climbed 642 points, or 1.2%, led by a 10% rise in Caterpillar, while S&P 500 futures gained 0.4% and Nasdaq-100 futures popped 1.1%.

Treasury Secretary Scott Bessent hinted at progress in talks with Iran, stating that a deal could be reached to reopen the Strait and normalize relations. Oil prices dropped as a result of the positive market sentiment, with West Texas Intermediate futures falling 3% to around $77 per barrel and Brent crude declining 2% to roughly $81 a barrel.

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