Japanese stocks are poised for gains, driven by renewed optimism that the United States and Iran may reach an agreement to reopen the Strait of Hormuz.

Futures for the Nikkei index on the Singapore Exchange have climbed 2.6% to 65,615 points. In currency markets, the dollar was trading at 157.80 yen, compared to 157.69 yen at Tuesday's Tokyo close.

Corporate earnings reports are taking center stage for investors. Market participants are also closely monitoring developments in the Middle East after U.S. Treasury Secretary Scott Bessent stated on Tuesday that the U.S. could finalize a deal with Iran to reopen the vital waterway "today or tomorrow."

The Nikkei index edged up 0.3% on Tuesday to close at 63,957.53 points.