US stocks were tipped to open higher on Thursday, poised to extend a record-setting rally driven by optimism surrounding a potential US-Iran peace agreement and expectations of continued AI-powered earnings growth.

Futures linked to the Dow Jones Industrial Average (YM=F) rose by 0.2%, while S&P 500 (ES=F) futures gained 0.1%, News.Az reports, citing Yahoo Finance.

Contracts on the tech-heavy Nasdaq 100 (NQ=F) also increased by around 0.2%, following record closing highs on Wall Street.

According to CNN, Iran is reportedly reviewing a US proposal aimed at ending the nearly 10-week conflict, with a response expected as early as Thursday. Hopes of progress toward reopening the blocked Strait of Hormuz helped push Brent crude (BZ=F) futures below $100 per barrel and contributed to a rise in gold (GC=F) as inflation concerns eased.

Investor sentiment was further supported by a steady stream of strong tech earnings this week, reinforcing confidence in the ongoing artificial intelligence-driven market rally. However, shares of Arm (ARM) declined in premarket trading due to concerns over chip supply constraints, despite an earlier boost from an upbeat revenue forecast.

On the earnings front, Thursday’s calendar includes results from McDonald’s (MCD), Shake Shack (SHAK), and Papa John’s (PZZA), all reporting before the market open as another busy earnings session unfolds.

Meanwhile, labor market data is also in focus. A Challenger report on April layoffs is expected, offering insight into potential AI-related impacts on employment. Weekly jobless claims figures are also due, ahead of Friday’s closely watched monthly US jobs report.

News.Az 

By Nijat Babayev