Stocks Rise to Record and Oil Falls as Truce Holds: Markets Wrap
(Bloomberg) — Relative calm returned to global markets, with stocks rising and oil falling as signs that a US-Iran ceasefire is still in place reduced fears about a full-scale war that could hamper the economic outlook.
The bounce in equities drove the S&P 500 to all-time highs as Washington played down the prospect of an active conflict with Tehran a day after an escalation of hostilities over the Strait of Hormuz. While crude prices remained elevated amid a blockade of the key energy chokepoint, Brent settled below $110. In late hours, Advanced Micro Devices Inc. gave a solid outlook.
US Defense Secretary Pete Hegseth said the truce that began about a month ago is still holding. Meantime, Secretary of State Marco Rubio emphasized that the move to give military support to ships passing through Hormuz near Iran is a “defensive operation,” noting the US will only fire if fired upon.
The lack of further escalation in tensions with Iran is supporting investor sentiment, according to Brock Weimer at Edward Jones.
“Our base-case for markets and the economy has been that there will be a near-term resolution between the US and Iran, allowing for energy prices to fall after the Strait of Hormuz is reopened,” said Chris Senyek at Wolfe Research.
The rebound in global stocks from their Iran war lows has been so narrow that the market is primed for broader gains triggered by even slightly positive news, according to strategists at JPMorgan Chase & Co. led by Mislav Matejka.
“Many investors are trying to read the tea leaves on the next shoe to drop with the Iran war and oil prices, but stocks have historically moved on quickly from geopolitical events, and we believe this current issue is no different,” said Julian Koski at New Age Alpha.
A rally in tech also buoyed the market Tuesday, with a key gauge of chipmakers climbing to a record. Apple Inc. is weighing using Intel Corp. and Samsung Electronics Co. to build the main processors for its devices in the US.
Meantime, the Securities and Exchange Commission unveiled a proposal that would let US companies choose to report earnings semiannually, enabling them to focus on long-term growth without the pressure of quarterly deadlines. Critics argue that less frequent reports would increase the potential to bury bad news and boost the risk of insider trading.
On the economic front, job openings were little changed in March while hiring rebounded as the labor market showed continued signs of stabilization. Separate figures showed a pickup in new-home sales. The services expansion cooled in April as orders growth slowed.
Corporate Highlights:
Anthropic PBC unveiled a set of new artificial-intelligence agents designed to handle a broader mix of financial services tasks. Super Micro Computer Inc. gave a forecast for profit in the current quarter that topped analysts’ estimates, signaling the company is controlling the costs of getting its powerful AI servers into customers’ hands. Pinterest Inc. jumped as first-quarter sales topped estimates and its outlook for revenue in the current period was higher than anticipated. Pfizer Inc. reported first-quarter sales that beat estimates as demand for older blockbusters helped to offset a decline in revenues from Covid products. Coinbase Global Inc. will slash around 14% of its workforce, citing a need to manage costs in volatile markets and technological advances in AI. 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 1.3% The Dow Jones Industrial Average rose 0.7% The MSCI World Index rose 0.6% Currencies
The Bloomberg Dollar Spot Index was little changed The euro was little changed at $1.1697 The British pound was little changed at $1.3544 The Japanese yen fell 0.4% to 157.86 per dollar Cryptocurrencies
Bitcoin rose 2.2% to $81,682.68 Ether rose 1.1% to $2,375.88 Bonds
The yield on 10-year Treasuries declined two basis points to 4.42% Germany’s 10-year yield declined two basis points to 3.06% Britain’s 10-year yield advanced 10 basis points to 5.06% Commodities
West Texas Intermediate crude fell 3.6% to $102.59 a barrel Spot gold rose 0.8% to $4,556.22 an ounce ©2026 Bloomberg L.P.
