Stock market today: Dow, S&P 500, Nasdaq futures jump as Trump says Israel and Iran agreed to a ceasefire

US stock futures rose after President Trump announced a ceasefire between Israel and Iran.

Futures attached to the Dow Jones Industrial Average (YM=F) and the benchmark S&P 500 (ES=F) jumped 0.3%. Futures attached to the tech-heavy Nasdaq 100 (NQ=F) rose 0.5%.

"It has been fully agreed by and between Israel and Iran that there will be a Complete and Total CEASEFIRE," the president wrote on Truth Social on Monday evening. The ceasefire, Trump said, would begin at about 12 a.m. ET. He continued, "On the assumption that everything works as it should, which it will, I would like to congratulate both Countries, Israel and Iran, on having the Stamina, Courage, and Intelligence to end, what should be called, 'THE 12 DAY WAR.'"

Trump thanked Iran on Monday afternoon for giving the US warning of its missile strike on a US military base in Qatar, saying it was a "very weak response."

Investors had been on edge since the US attacked Iranian nuclear sites over the weekend as the world braced for Iran's response. But, Monday proved to be an upbeat day on Wall Street as consensus emerged that Iran's attack conveyed a desire to deescalate. Stocks rose and oil dove amid relief that a wider war could be avoided .

On Tuesday, Federal Reserve Chair Jerome Powell will testify before the House Financial Services Committee, where he will deliver prepared remarks on monetary policy and hold question-and-answer sessions with lawmakers. Carnival Corporation (CCL), FedEx (FDX), BlackBerry (BB) are also due to report earnings.