Asian equities were positioned to advance Friday morning as easing US-Iran tensions lifted global markets. Equity index futures for Australia, Japan and Hong Kong climbed early, following gains in US stocks and Treasuries after reports emerged that Washington and Tehran were nearing an agreement to extend a ceasefire.

US markets closed higher Thursday with the S&P 500 rising 0.6% to reach a new high, marking its sixth straight daily gain. The Nasdaq 100 jumped 0.8% to also hit record levels, while US stock futures edged modestly upward in Asian trading sessions.

The market rally stems primarily from diplomatic progress between the US and Iran, as investors respond positively to signs of de-escalation in the Middle East. Geopolitical uncertainty has pressured risk assets in recent weeks, making the potential ceasefire extension a welcome development for market sentiment.

Asian markets will likely open higher as they catch up with US advances, though weekend positioning may limit trading activity. Energy and commodity-linked stocks could benefit from the improved risk appetite as investors price in reduced Middle East supply disruptions.