Stocks Hit Record Highs on US-Iran Talk Optimism: Markets Wrap
(Bloomberg) — Hopes that the US and Iran will be back to the negotiating table lifted stocks to all-time highs, with the market also rising after a blowout forecast from Intel Corp. and the closing of a probe into Federal Reserve Chair Jerome Powell.
A nearly 1% gain in the S&P 500 on Friday drove the index to its longest weekly advance since 2024. President Donald Trump will send two envoys to Pakistan with the intention of talking with Iranian officials. US crude dropped to around $94. Treasury yields fell as the Justice Department’s decision on Powell potentially cleared a path to Kevin Warsh’s confirmation as the next Fed leader, with traders boosting bets on interest-rate cuts.
Special envoy Steve Witkoff and the president’s son-in-law Jared Kushner are set to depart Saturday for talks this weekend, White House Press Secretary Karoline Leavitt told Fox News.
The New York Times reported that Iranian Foreign Minister Abbas Araghchi plans to meet with the US delegation and intends to present a written response to a peace proposal.
Traders have been closely tracking the movements of both delegations for signals on whether peace talks will materialize, hoping for a resumption of flows though the vital Strait of Hormuz. Despite geopolitical risks, strong corporate earnings and an otherwise resilient economy have buoyed equities.
“We believe strong earnings growth is a key reason markets have become less sensitive to geopolitical headlines and swings in oil prices,” said Angelo Kourkafas at Edward Jones.
A revival of the global tech trade has also fueled investor optimism. A gauge of chipmakers climbed for an 18th straight day as Intel hit a record high. SAP SE reported revenue growth from its cloud services that beat estimates while Taiwan Semiconductor Manufacturing Co. soared after Taiwan’s financial regulator eased limits on single-stock fund holdings.
Google will invest $10 billion in Anthropic PBC, with another $30 billion potentially to follow, strengthening the relationship between two companies that are at once partners and rivals in the race to build artificial intelligence.
Looking ahead, five of the so-called Magnificent Seven — Amazon.com Inc., Alphabet Inc., Meta Platforms Inc., Microsoft Corp. and Apple Inc. — are due to report earnings next week.
Corporate Highlights:
Procter & Gamble Co. reported stronger-than-expected results for its latest quarter, but warned that rising oil prices caused by the war in the Middle East could lead to additional costs of $1 billion in its next fiscal year. Eli Lilly & Co.’s new weight-loss pill Foundayo has gotten off to a sluggish start, according to new prescription data, an early sign of the challenge the drugmaker will have as it tries to catch up with rival Novo Nordisk A/S. HCA Healthcare Inc. opted against raising its yearly profit and sales guidance even though first quarter profit beat analysts’ views, meaning it could foresee challenges later in the year. SLB, the world’s largest oilfield service provider, reported first-quarter results that fell short of analysts’ expectations as the Iran war upends the global energy sector. Newmont Corp. plans to repurchase $6 billion in shares as the world’s largest gold producer seeks to reward investors amid an unprecedented rally in bullion prices. Some of the main moves in markets:
Stocks
The S&P 500 rose 0.8% as of 4 p.m. New York time The Nasdaq 100 rose 1.9% The Dow Jones Industrial Average fell 0.2% The MSCI World Index rose 0.5% Currencies
The Bloomberg Dollar Spot Index fell 0.2% The euro rose 0.3% to $1.1719 The British pound rose 0.5% to $1.3534 The Japanese yen rose 0.2% to 159.40 per dollar Cryptocurrencies
Bitcoin fell 0.4% to $77,591.17 Ether fell 0.2% to $2,321.45 Bonds
The yield on 10-year Treasuries declined two basis points to 4.31% Germany’s 10-year yield declined two basis points to 2.99% Britain’s 10-year yield declined three basis points to 4.91% Commodities
West Texas Intermediate crude fell 1% to $94.88 a barrel Spot gold rose 0.4% to $4,712.66 an ounce ©2026 Bloomberg L.P.
