S&P 500 Futures dropped 0.2% to 7,576.00 points, while Nasdaq 100 Futures slid 0.5% to 29,803.75 points and Dow Jones Futures traded largely flat at 52,824.0 points

U.S. stock index futures ticked lower on Thursday evening after the stock market closed higher, as easing oil prices and signs of a possible diplomatic opening between Iran and the U.S. helped steady investor sentiment.

S&P 500 Futures dropped 0.2% to 7,576.00 points, while Nasdaq 100 Futures slid 0.5% to 29,803.75 points by 07:23 GMT. Dow Jones Futures traded largely flat at 52,824.0 points.

The three main U.S. indexes closed higher on Thursday, with technology shares leading gains.

The Dow Jones Industrial Average added 0.3%, the S&P 500 rose 0.8%, and the NASDAQ Composite jumped 1.3%, recovering losses from the previous session.

Market sentiment improved after U.S. president said Iran had reached out seeking negotiations, raising hopes that tensions between Tehran and Washington could eventually cool despite recent mutual strikes.

His remarks came after several days of escalating hostilities that threatened to end a three-week-old ceasefire, and had fuelled fears of supply disruptions through the Strait of Hormuz.

Oil prices dropped on Thursday, reversing part of this week’s surge, and reducing worries that higher energy costs could reignite inflationary pressures and complicate the U.S. central bank’s policy outlook.

Chipmakers and artificial intelligence-related companies led Thursday’s advance after renewed optimism surrounding AI demand. The Philadelphia Semiconductor Index gained about 3% for a second straight session.

Investors also digested latest economic data showing initial jobless claims edged down to 215,000, largely in line with expectations, indicating the labour market remains relatively resilient, although other data pointed to continued weakness in the housing market.

Minutes from the central bank’s latest policy meeting underscored officials’ concerns that persistent inflation risks could keep interest rates higher for longer.