S&P 500 Set for Record High on Earnings; Oil Gains: Markets Wrap
(Bloomberg) — A slew of strong corporate profits lifted stocks a day after President Donald Trump extended a ceasefire with Iran, though attempts to resolve the conflict struggled without any signs that the key Strait of Hormuz will reopen soon. Oil climbed.
The nearly 1% advance in the S&P 500 sent the gauge toward a fresh record, with big tech leading the charge. Boeing Co. jumped after delivering the most aircraft in the first quarter since 2019. Other giants from Tesla Inc. to Texas Instruments Inc. and International Business Machines Corp. are due to report results Wednesday. Brent crude hit $100. Bitcoin topped $79,000. Bond yields and the dollar fell.
After Trump indefinitely extended a truce with Iran, the key question is whether the two sides can reach a deal to end a war that has rattled markets and sparked a global energy crunch.
Tensions remain high as Tehran continues to maintain a tight grip on the Strait of Hormuz, controlling passage through the crucial trade route and firing on ships, and as the US refuses to lift its blockade on Iranian-linked vessels.
Trump extended the ceasefire with Iran for three to five days, not indefinitely, Fox News reported, citing a White House official. A second round of talks may be coming as soon as Friday, the New York Post reported, citing the US president and Pakistani sources it didn’t name.
What we have is a situation that’s technically “calm and chaotic” at the same time, according to Kenny Polcari at SlateStone Wealth.
“While the Iran conflict is ongoing, my sense is that investors are already starting to look through it and focus on what really matters,” he said. “We’ve seen this movie before — the headlines hit, the market reacts, volatility spikes, and then it settles down and refocuses on fundamentals.”
Strong corporate profits, the revival of the artificial-intelligence trade and an otherwise resilient economy have buoyed the stock market despite lingering geopolitical risks. About 81% of the S&P 500 companies reporting first-quarter results have beaten analyst earnings estimates so far, according to data compiled by Bloomberg.
While there is still uncertainty and saber rattling over the Iran conflict, markets are forward-looking, according to Rick Gardner at RGA Investments.
“It’s possible that we see a continuation of negative headlines, ultimatums and deadlines for negotiations, but that doesn’t mean that stocks will react meaningfully to each one, since markets already priced-in the worst of the conflict,” he said.
Corporate Highlights:
Alphabet Inc.’s Google Cloud division unveiled the latest generation of its tensor processing unit, or TPU, a homegrown chip that’s designed to make AI computing services faster and more efficient. Adobe Inc. will buy back as much as $25 billion of its stock following a steady decline for more than two years over investor concerns that artificial intelligence will disrupt the company’s business. United Airlines Holdings Inc. Chief Executive Officer Scott Kirby sidestepped questions about a potential merger with American Airlines Group Inc., while acknowledging that the current climate of high costs and struggling rivals might offer opportunities for deals. GE Vernova Inc. jumped after the gas turbine and power grid equipment maker reported strong order growth amid rising electricity demand. Philip Morris International Inc.’s profit rose more than expected in the first quarter on sales of smoke-free products including heated tobacco and nicotine pouches. Some of the main moves in markets:
Stocks
The S&P 500 rose 0.9% as of 10:30 a.m. New York time The Nasdaq 100 rose 1.3% The Dow Jones Industrial Average rose 0.9% The Stoxx Europe 600 fell 0.2% The MSCI World Index rose 0.6% Currencies
The Bloomberg Dollar Spot Index fell 0.2% The euro was little changed at $1.1734 The British pound was little changed at $1.3520 The Japanese yen rose 0.1% to 159.20 per dollar Cryptocurrencies
Bitcoin rose 4.5% to $79,133.88 Ether rose 4.4% to $2,416.58 Bonds
The yield on 10-year Treasuries declined two basis points to 4.27% Germany’s 10-year yield declined two basis points to 2.99% Britain’s 10-year yield declined two basis points to 4.86% Commodities
West Texas Intermediate crude rose 2% to $91.43 a barrel Spot gold rose 0.6% to $4,747.14 an ounce ©2026 Bloomberg L.P.
