Asian equity indices opened higher on Friday as traders chased a rebound sparked by President Donald Trump’s claim that the United States is close to a deal with Iran. The comment lifted sentiment across the region, with markets echoing a Wall Street rally that had begun earlier in the day. Investors linked the optimism to a potential end of a conflict.

Oil prices slipped as the news dampened fears of a supply squeeze that could have driven prices higher. The decline in crude helped calm commodity‑heavy indices, while Asian stocks benefited from a broader risk‑on mood. Market watchers noted that a diplomatic breakthrough could reduce volatility in energy markets and ease geopolitical tension that has weighed on investor confidence recently significantly.

With the possibility of a US‑Iran agreement on the horizon, investors are revisiting exposure to Middle Eastern equities and energy stocks. The market rally also signals that geopolitical risk premiums may shrink, prompting a shift toward growth sectors. Analysts expect the episode to sharpen focus on how diplomatic outcomes shape commodity pricing and corporate earnings across the global region for investors.