US equity markets are set for a positive open on Monday, driven by a de-escalation in geopolitical tensions that has weighed on risk sentiment in recent sessions.
A temporary halt in military exchanges between the United States and Iran over the weekend has triggered a pullback in crude oil prices, removing a key headwind for global growth expectations.
The cooling in energy costs is providing immediate relief to sectors with high fuel exposure.
Airline stocks are among the early beneficiaries, as traders price in lower input costs and reduced volatility risk.
The broader market rally reflects a shift in investor focus from geopolitical supply shocks to fundamental corporate performance.
This development arrives as Wall Street prepares for a critical week of corporate earnings reports.