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* Dow, S&P, Nasdaq, futures nearly flat

May 7 (Reuters) - S&P 500 and Nasdaq futures hovered

near all-time highs on Thursday as oil prices retreated further

on hopes of a U.S.-Iran peace deal that could potentially

normalize crude supplies through the Strait of Hormuz.

The United States and Iran are edging toward a limited,

temporary agreement to halt their war, sources and officials

said, with hopes that a deal could lead to the reopening of the

Strait, lifting global stocks to record peaks while oil prices

fall deeper below $100 a barrel.

Tehran is now expected to respond to the peace proposals.

At 6:05 a.m. ET, Dow E-minis fell 11 points, or

0.02%, S&P 500 E-minis rose 2 points, or 0.03%, and

Nasdaq 100 E-minis lost 3.25 points, or 0.01%.

A relentless rally in technology and AI names has also

played a big role in pushing U.S. stocks to fresh highs as

investors cheered a strong earnings season and upbeat economic

data.

U.S. private payrolls rose by 109,000 jobs in April, their

largest increase in 15 months, data on Wednesday showed,

pointing to continued labor market stability despite elevated

global tensions.

Weekly jobless claims numbers are due at 8:30 a.m. ET.

Investors are awaiting the more comprehensive nonfarm payrolls

report on Friday, with jobs seen increasing by 62,000 in April

after rebounding 178,000 in March, according to a Reuters poll

of economists.

Traders continued to bet the U.S. Federal Reserve will hold

interest rates through the end of the year due to signs of a

resilient labor market and elevated energy prices. That is a

stark shift from several rate cuts investors priced in before

the war.

Fed presidents Neel Kashkari of Minneapolis and Beth Hammack

of Cleveland as well as New York head John Williams - all voting

members of the interest rate-setting committee this year - are

scheduled to speak later in the day.

Among early movers, Snap tumbled 10% in premarket

trading after the Snapchat parent said its first-quarter

advertising revenue was impacted by the conflict in the Middle

East and slowing growth in North America.

Whirlpool slumped 16.6% after the home appliance

maker missed analysts' estimates for first-quarter sales and

suspended its dividend.

U.S.-listed shares of Arm Holdings, which licenses

technology to semiconductor designers, dropped 7.3% despite

forecasting first-quarter revenue above Wall Street

expectations. Its shares have surged about 117% so far this

year.