* Futures up: Dow 0.87%, S&P 500 0.84%, Nasdaq 1.02%

* Arm shares jump as new AI chip to drive billions in

revenue

* Space stocks rise on report SpaceX could file for IPO

this week

* BlackRock ( BLK ) CEO says oil could cross $150 a barrel, cause

global recession

(Updates with prices)

By Purvi Agarwal and Twesha Dikshit

March 25 (Reuters) - U.S. stock index futures climbed on

Wednesday after media reports that the U.S. was seeking a

month-long ceasefire in its war with Iran allayed some investor

fears around prolonged energy supply disruptions.

The New York Times reported that Washington sent Iran a

15-point plan to end the war. Israel's Channel 12 said the U.S.

planned to discuss the plan during the proposed ceasefire.

Pakistan has delivered a proposal from the United States to

Iran, and either Pakistan or Turkey could be venues for

discussions to de-escalate the war in the Gulf, a senior Iranian

official told Reuters. Tehran has so far denied in public that

it would negotiate with the Trump administration.

"While we don't envision U.S. escalation going forward, we

would also be surprised to see a near-term resolution... There

could be a scenario where the combination of a resilient Iran

and rising energy prices forces President Trump to escalate, but

that does not appear imminent," said Mike O'Rourke, chief market

strategist at JonesTrading.

Global markets turned optimistic after the reports, hoping

for a breakthrough that could help restore shipping through the

crucial Strait of Hormuz. Oil prices sank almost 4%, supporting

broader risk appetite.

"Investors should be cautious about assuming a swift

resumption of energy flows, but our base case is that they will

be restored without meaningful or lasting economic damage," said

analysts at UBS Global Wealth Management.

Wall Street's main indexes closed lower on Tuesday as a

relief rally sparked by President Donald Trump's decision to

postpone strikes on Iran's power network fizzled out.

At 07:02 a.m. ET, Dow E-minis were up 406 points, or

0.87%, S&P 500 E-minis added 55.25 points, or 0.84%, and

Nasdaq 100 E-minis gained 248 points, or 1.02%.

Shares of futures tracking the small-cap Russell 2000 index

rose 1.28%.

BlackRock ( BLK ) CEO Larry Fink said oil prices could reach

$150 a barrel and cause a "global recession" if Iran "remains a

threat" even after the war ends.

The spike in oil prices tied to the Iran conflict has

revived inflation concerns, complicating the interest rate

outlook of central banks.

Markets are not pricing in any easing from the Federal

Reserve this year, compared with two cuts anticipated before the

war broke out, according to CME Group's FedWatch Tool.

In premarket moves, U.S.-listed shares of Arm jumped

13.3% after the company unveiled a new AI data center chip that

is expected to bring billions of dollars in revenue.

Other chipmakers also inched higher with Intel ( INTC ) up

4%, Marvell Technology ( MRVL ) gaining 2.8% and Nvidia ( NVDA )

1.4% higher.

U.S.-listed shares of JD.com and Alibaba

gained more than 3% each after Chinese state media and the

regulator urged the food delivery platform industry to end a

bleeding price war.

Destiny Tech100 ( DXYZ ) surged 18% after a report that

SpaceX aims to file its IPO prospectus as soon as this week.

SpaceX is the fund's largest equity holding.

Other space companies also rose, with Rocket Lab ( RKLB ),

Intuitive Machines ( LUNR ) and AST Spacemobile ( ASTS ) up

between 3% and 4%.

Robinhood Markets ( HOOD ) added 3.2% after the trading

platform announced a new $1.5 billion share buyback program.

(Reporting by Purvi Agarwal, Medha Singh and Twesha Dikshit in

Bengaluru; Editing by Mrigank Dhaniwala and Devika Syamnath)