Asian stocks broadly gained and European stock indexes rose at the open as U.S. stock futures climbed on continued global market momentum. Brent crude oil held around $80 a barrel in early European trade, buoyed by optimism over a potential deal to reopen the Strait of Hormuz. Market sentiment received a lift after Treasury Secretary Scott Bessent indicated that a U.S.-Iran agreement was days away, causing U.S. Treasury yields to fall and the dollar to remain steady. Major U.S. stock indexes were poised for opening gains, while European indexes hit new highs driven by better-than-expected earnings and easing oil prices. However, SpaceX weighed on the U.S. outlook, dropping 7.7% in after-hours trading amid investor concerns over spending plans. For the day ahead, traders awaited the ADP employment report for July, with foreign exchange markets monitoring potential yen intervention following Bessent’s pledge to support Japan. Key earnings releases included Eli Lilly and Walt Disney. Despite the positive tone, analysts at ING cautioned that significant gaps remain between the U.S. and Iran on managing the Strait of Hormuz and the nuclear issue, warning that any deal could unravel quickly as seen with prior agreements. Tanker traffic through the waterway remained limited, keeping global oil markets tight.

Oil prices edged higher after a sharp 5% decline in the prior session, as investors awaited clarity on the Hormuz reopening. In early European trading, Brent crude rose 1% to $80.15 a barrel, while WTI gained 0.3% to $76.05 a barrel.