US stock futures nudged higher Friday, extending a record-setting run as easing geopolitical tensions and the start of earnings season kept sentiment buoyant.
Contracts tied to the S&P 500 rose 0.3%, while Nasdaq 100 futures gained 0.26%. Dow futures led the uptick, climbing as much as 230 points, or about 0.47%.
The cautious optimism follows a strong close on Thursday, when the S&P 500 and Nasdaq Composite scaled fresh all-time highs, rising 0.3% and 0.4%, respectively. The Dow Jones Industrial Average added 115 points. The rebound has now erased all losses linked to the recent Iran conflict, putting major indices on track for a solid weekly finish.
Driving the momentum is a sharp shift in geopolitical narrative. President Donald Trump signalled de-escalation, saying the Iran war “should be ending pretty soon” and describing the situation as “going along swimmingly.”
His comments came after announcing a 10-day ceasefire agreement between Israel and Lebanon, alongside ongoing negotiations with Tehran. Earlier in the week, Trump had said a deal with Iran was “very close,” adding that talks over the weekend could pave the way for a permanent agreement.
Markets have responded swiftly. The Dow is up 1.4% for the week, while the S&P 500 and Nasdaq have rallied 3.3% and 5.2%, respectively, as hopes of a peace deal fuel risk appetite.
On the corporate front, Netflix emerged as a key drag in after-hours trade. The stock tumbled more than 9% despite posting a first-quarter beat, with investors flagging concerns around its weaker-than-expected second-quarter outlook.
Focus now shifts to the financial pack, with Truist Financial, State Street, and Fifth Third Bancorp set to report earnings before the opening bell, offering further cues on the health of the US economy.
