The Dax is poised to open higher on Wednesday, according to futures markets. On Tuesday, the German benchmark index closed down more than 1% at 22,921.59 points. European equities were pressured by U.S. President Donald Trump's ultimatum to Iran regarding the opening of the Strait of Hormuz. Wall Street investors, however, remained hopeful for a resolution, with major U.S. indices closing near flat.

With less than two hours remaining before the deadline, Trump agreed to a two-week ceasefire with Iran. The truce is contingent upon Iran lifting its blockade of the Strait of Hormuz, Trump announced on his social media platform, Truth Social. This development sent oil prices tumbling nearly 15%.

Midweek, Trump is scheduled to host NATO Secretary General Mark Rutte at the White House in Washington. The U.S. President recently threatened to withdraw from the Western military alliance after European members refused to deploy vessels to reopen the Strait of Hormuz. According to NATO, Rutte's visit has been planned for some time.

Investors are also awaiting the minutes from the Federal Reserve's latest policy meeting. In mid-March, just weeks after the outbreak of hostilities in the Middle East, policymakers left key interest rates unchanged.

Attention will also turn to data from Germany's recently struggling industrial sector, which is expected to have seen an uptick in orders prior to the conflict in the Middle East. Furthermore, investors are awaiting February producer price and retail sales figures for the Eurozone.

Closing levels of European Level  

Stock Indices and

Futures on Tuesday

Dax 22,921.59    

EuroStoxx50 5,633.22    

EuroStoxx50 Future 5,567.00    

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Closing levels of Level Change in

U.S. Indices on Tuesday Percent

Dow Jones 46,584.46   -0.2%  

Nasdaq 

S&P 500  6,616.85   +0.1%  

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Asian Indices on Levels at 07:00 Change in

Wednesday CET Percent

Nikkei  56,308.00   +5.4%  

Shanghai 3,964.72   +1.9%  

Hang Seng 25,833.58   +2.8%  

(Report by Sanne Schimanski. For inquiries, please contact our editorial office at berlin.newsroom@thomsonreuters.com (for politics and economics) or frankfurt.newsroom@thomsonreuters.com (for companies and markets).)