Another Record: S&P 500 & Nasdaq Rise Amid Hormuz Drama
The S&P 500 and Nasdaq closed at record levels on Wednesday (April 22nd) after President Donald Trump extended the US-Iran ceasefire, while solid earnings reports boosted sentiment. The S&P 500 rose 1.1%, the Nasdaq rose 1.6% (a record intraday gain), and the Dow rose 341 points (+0.7%).
Trump stated that the ceasefire extension was necessary because the Iranian government was "seriously divided" and at the request of Pakistan's leadership. He emphasized that the blockade would remain in place and the US military would remain on standby until Iran's proposals were submitted and discussions concluded. However, the timeline for negotiations remains uncertain: JD Vance's trip for talks was postponed, while Iranian media called negotiations with the US "a waste of time."
On the risk front, tensions in Hormuz remained high after Iran seized two container ships, and Brent crude oil prices re-surfaced above US$100. However, the equity rally suggests investors are starting to look past the Middle East headlines, with expectations of an earnings season providing additional support—especially for the US stock market. (Arl)*
Source: Newsmaker.id