US equity futures were edging higher pre-bell Wednesday on optimism for a potential deal to reopen the Strait of Hormuz.

Dow Jones Industrial Average futures were 0.4% higher, S&P 500 futures were up 0.4%, and Nasdaq futures were 0.2% higher.

President Donald Trump said that the US had "very good discussions" with Iran, with the agreement to reopen the Strait of Hormuz potentially happening soon. An Axios report citing two regional sources said that the US, Iran, and Oman were nearing an interim agreement regarding the waterway.

Meanwhile, US Central Command said in a post on X that the strait "remains free and open for all commercial vessels seeking to transit."

Traders digested the latest round of earnings, with SpaceX (SPCX) reporting a narrower loss and higher revenue for Q2.

Sandisk (SNDK) is expected to report its fiscal Q4 earnings after the market closes. Analysts polled by FactSet expect earnings of $34.96 per share on revenue of $8.48 billion.

Oil prices were higher, with front-month global benchmark North Sea Brent crude up nearly 1% at $80.10 per barrel and US West Texas Intermediate crude 0.3% higher at $76.03 per barrel.

The ADP employment report for July, expected at 8:15 am ET, is seen showing an increase of 65,000 from 98,000 in the prior month, according to estimates compiled by Bloomberg.

The S&P Global purchasing managers' index composite final report for July is due at 9:45 am ET, followed by ISM's services data at 10:00 am ET.

Federal Reserve Governor Lisa Cook and San Francisco Fed President Mary Daly are slated to speak on Wednesday.