Asia-Pacific markets opened higher Wednesday, with comments from U.S. President Donald Trump pointing to potential talks with Iran lifting sentiment, even as Tehran has denied any direct negotiations with Washington.

Speaking at the Oval Office on Tuesday, Trump said the U.S. and Iran were “in negotiations right now” and suggested Tehran was keen to strike a peace deal, adding he had stepped back from threats to target Iranian energy infrastructure “based on the fact we’re negotiating.”

Australia’s S&P/ASX 200 rose over 1.4% in early trade.

Japan’s Nikkei 225 gained 2.5%, while the Topix added 2.4%. South Korea’s Kospi jumped 2.5%, while the small-cap Kosdaq was 1.6% higher.

Hong Kong’s Hang Seng index futures were at 24,972 compared with the index’s last close of 25,063.71.

Oil prices were lower in early Asia trading hours. West Texas Intermediate crude futures were down 3.92% at $88.73 per barrel.

Overnight in the U.S., the S&P 500 pulled back, giving back some of the sharp gains seen in the previous session, as crude prices rose again while the Iran war moved further into its fourth week.

The broad market index lost 0.37% and ended at 6,556.37, while the Dow Jones Industrial Average shed 84.41 points, or 0.18%, and settled at 46,124.06. The Nasdaq Composite dropped 0.84% and closed at 21,761.89.

—CNBC’s Sean Conlon and Lisa Kailai Han contributed to this report.