Oil slipped while equity markets rose as traders awaited Iran’s reaction to a U.S. memo that would end hostilities and gradually reopen the Strait of Hormuz. Saudi‑owned Al Arabiya reported intense talks to craft a reopening framework, prompting investors to price in possible delays in the oil market for now.

In European trade Brent crude fell below $100, with the July contract slipping 2.6% to $98.60 a barrel, while June WTI dropped 2.5% to $92.79. The move erased more than 10% of Brent’s weekly gains and reflected lingering supply worries despite diplomatic progress in the market as investors remain cautious.

U.S. equity futures nudged higher; the S&P 500 rose 0.2%, the Dow 0.25% and the Nasdaq 0.3% in pre‑market trading. Gains were broad‑based, with Japan’s Nikkei hitting a fresh record and U.S. tech stocks leading the rally. Energy traders kept a watchful eye on oil volatility throughout the day and markets.

Ahead of earnings, McDonald’s joins a slate of companies set to report before the market opens Thursday, adding another layer of focus for investors. With oil prices volatile and diplomatic talks ongoing, the mixed signals underscore how quickly sentiment can shift between risk‑on equity rallies and caution in commodities today.