Stocks Climb on US-Iran Optimism as SpaceX Debuts: Markets Wrap
(Bloomberg) — Hopes for a diplomatic breakthrough that would end the war in Iran sent oil prices lower as stocks rose, with SpaceX’s strong debut also fueling Wall Street’s optimism.
In a volatile session, the S&P 500 extended this week’s advance. Elon Musk’s space company soared after a record-breaking IPO. US oil fell below $85 as the US and Iran approached an interim peace agreement meant to reopen the Strait of Hormuz and help end their conflict.
President Donald Trump said he thinks a deal with Iran could be signed over the weekend or on Monday, according to an Axios reporter’s post on X. A senior administration official said there was an 80% or 85% chance that an agreement gets signed.
Iran’s Foreign Minister Abbas Araghchi noted the Islamabad Memorandum of Understanding has “never been closer.” Pakistan’s Prime Minister Shehbaz Sharif a “final, agreed upon text of the peace deal has been reached” and that his country is working with both sides “to finalize the next steps.”
Equities had briefly fallen after Trump complained about Iran leaking terms of a deal to end their war.
As a selloff in oil deepened, concerns over inflationary pressures eased, with traders pushing their wagers for a Federal Reserve rate hike into next year.
Data Friday showed a pickup in consumer sentiment alongside easing in inflation expectations.
“We expect inflation pressures to ease after the Iran conflict simmers and the subsequent improvement in supply chains,” said Jeff Roach at LPL Financial. “But if the conflict in Iran remains throughout the summer, we should expect stronger inflation headwinds will put a damper on the growth trajectory.”
Corporate Highlights:
Exxon Mobil Corp. is studying potential acquisition targets including Australia’s Woodside Energy Group, as the US giant eyes options to deepen its presence in liquefied natural gas and Asian markets, according to people with knowledge of the matter. Adobe Inc. said its chief financial officer would depart, leaving the company without a top tier of veteran leadership after Chief Executive Officer Shantanu Narayen announced in March that he would step aside. Blackstone Inc. is in early-stage talks about an acquisition involving H&R Real Estate Investment Trust, a Canadian owner of apartment buildings and other properties. Flutter Entertainment Plc announced plans to delist from the London Stock Exchange about two years after the online betting group shifted its primary listing to New York, the latest company to abandon the UK bourse to prioritize US trading. What Bloomberg Strategists say…
“The pop in stocks on Friday following the latest comments from Iran’s foreign minister shows there’s room for markets to price in added optimism if a concrete deal emerges. Yet the extent of such a reaction will probably be limited.”
—Kristine Aquino, Managing Editor, Markets Live. For the full analysis, click here.
Some of the main moves in markets:
Stocks
The S&P 500 rose 0.5% as of 2:15 p.m. New York time The Nasdaq 100 rose 0.7% The Dow Jones Industrial Average rose 0.7% The MSCI World Index rose 0.9% Currencies
The Bloomberg Dollar Spot Index was little changed The euro was little changed at $1.1573 The British pound was little changed at $1.3414 The Japanese yen fell 0.2% to 160.22 per dollar Cryptocurrencies
Bitcoin rose 0.8% to $63,832.38 Ether fell 0.1% to $1,668.91 Bonds
The yield on 10-year Treasuries advanced two basis points to 4.48% Germany’s 10-year yield declined four basis points to 3.00% Britain’s 10-year yield declined seven basis points to 4.84% Commodities
West Texas Intermediate crude fell 3.3% to $84.80 a barrel Spot gold rose 0.3% to $4,223.03 an ounce ©2026 Bloomberg L.P.
