Dow Futures jump as Wall Street rises to start the week. Equities have risen as investors hope for a diplomatic solution to the Middle East issue, but contradicting signals from the U.S. and Iran have cast doubt on the pact. Palantir and Snap shares rose in extended hours trading following strong quarterly reports.

Dow futures rose on Tuesday as investors assessed a gloomy Iran war outlook and reviewed new corporate reports. By 03:03, the Dow futures contract had gained 111 points, or 0.2%, S&P 500 futures had nudged up by 19 points, or 0.3%, and Nasdaq 100 futures had surged by 201 points, or 0.7%. The main Wall Street indexes rose in the previous session after President Donald Trump called off military strikes against Iran over the weekend and said discussions to open the Strait of Hormuz would resume. Iran, meanwhile, denied that any such conversations were under process. Sentiment was also supported by data showing an uptick in U.S. manufacturing sector activity in July, thanks in part to substantial spending on artificial intelligence technology. Hopes around the AI boom were further boosted by excellent quarterly results last week from hyperscalers like Microsoft and Amazon, while doubts linger about when, if ever, their plans for billions of dollars worth of expenditures on data centers and processors can create sustainable profits. After the current Middle East deescalation and allegations that the U.S. and Japan had coordinated foreign exchange market action to prop up the yen, U.S. Treasury yields plummeted. Yields tend to change inversely to prices.

Conflicting signals from both sides have cast doubt on the Iran war, which began in late February. Trump announced earlier this week that negotiations with Iran had resumed, calling them Tehran’s “last chance” to “sign a good document.” However, Iranian Foreign Ministry spokesperson Esmail Baghaei said no ceasefire talks were scheduled. Investors are trying to manage a sequence of threats and pullbacks that has locked the Strait of Hormuz. Iran has blocked the oil-shipping corridor for months. With Gulf advancements, oil prices have fluctuated. On Tuesday, Brent crude futures, the global oil benchmark, were last higher by 1.3% to $84.85 a barrel, compared to a jump to over $100 a barrel last month and pre-war levels of approximately $70 a barrel.

Palantir shares rose more than 15% in extended hours trading after the data analytics firm boosted its full-year financial outlook and reported strong U.S. commercial sales growth. CEO Alex Karp said “demand for AI sovereignty has been unleashed.” Palantir projected $8.16 billion in annual sales after second-quarter revenue almost doubled to $1.94 billion from a year earlier, which Karp called “otherworldly.” Group revenue was previously guided at just around $7.7 billion. The Maven AI system, which analyses battlefield data and helps identify targets, has helped Palantir deepen its relations to Washington. Some analysts have warned that Palantir’s software may face competition from cheaper AI start-ups like Anthropic. Palantir executives denounced “AI slop” from frontier laboratories in an analyst call earlier this year.

Snap shares rose more than 7% after-hours, putting the stock on course to recover at least part of its 38% year-to-date decline. The short-form video app maker’s second-quarter deficit narrowed to $164 million from $262.6 million a year earlier due to projected expense reductions. Snap will cut 16% of its full-time personnel to cut costs as it integrates AI. Revenue rose 19% to $1.6 billion as marketers spent more on Snap’s native platforms like Sponsored Snaps. Ad sales rose 9% to $1.28 billion, while Snap’s other revenue, including its premium membership tier, rose 85% to $316 million. Tuesday will bring SpaceX’s first quarterly report after the closing bell and Advanced Micro Devices’ data.

The Information reports that the Trump administration will receive AI executives at the White House on Tuesday. The Information stated that the meeting will evaluate a government AI oversight framework, citing sources. The report listed OpenAI, Google, and Anthropic as meeting attendees. The conference will be hosted by the executive branch’s Office of the National Cyber Director, a source said. The story did not specify if the White House will take feedback or propose a final framework at the conference.