US stock futures fell on Tuesday as President Donald Trump’s deadline for Iran to reopen the Strait of Hormuz approached, with market sentiment turning cautious amid fading hopes of a breakthrough.


Dow Jones Industrial Average futures fell 201 points, or 0.4 percent
S&P 500 futures dropped 0.5 percent
Nasdaq 100 futures declined 0.6 percent
The pullback comes as investors reassess geopolitical risks tied to energy flows and potential escalation in West Asia.

Negotiations between the US appear unlikely to yield a last-minute agreement, according to a report by The Wall Street Journal.

The report, citing US officials, said negotiators are not optimistic about reaching a deal before the 8 p.m. ET deadline set by Trump.

Officials on both sides reportedly see a wide gap in positions, raising doubts about whether talks can deliver a breakthrough within the limited window.


Trump on Monday reiterated that the US would target Iran’s infrastructure if the Strait is not reopened, warning of strikes on power plants and bridges.

“They have ’til tomorrow,” Trump said at a news conference, adding that he extended the deadline to Tuesday as it fell immediately after Easter.

He said negotiations were ongoing and expressed cautious optimism, noting that multiple countries were assisting mediation efforts.

Parallel diplomatic efforts are underway to de-escalate tensions.

Axios reported that the US, Iran and mediators are discussing terms for a potential 45-day ceasefire that could pave the way for a longer-term resolution.

Separately, Reuters reported that both sides are reviewing a proposal brokered by Pakistan aimed at ending the conflict.

However, these proposals remain exploratory, with no confirmation of an agreed framework.