US equity markets opened higher on Tuesday, extending a broad-based rally that has lifted major indices toward record territory.
The S&P 500 was up 0.4% in early trading, while the Nasdaq Composite gained 0.7%, outpacing the broader market.
The Dow Jones Industrial Average also posted gains, reflecting broad investor confidence.
The positive sentiment follows President Donald Trump’s decision to cancel plans for a military strike on Iran, a move that significantly reduced geopolitical risk premiums.
The de-escalation triggered a sharp decline in oil prices, with Brent crude falling as traders priced out the threat of supply disruption.
Lower energy costs are expected to support consumer spending and corporate margins, further bolstering equity valuations.