US Stocks Extend Gains
US stocks were higher on Tuesday as the apparent de-escalation between Israel and Iran magnified the support that uninterrupted oil trade through the Persian Gulf had on US equities.
The S&P 500 and the Dow Jones were around 0.8% higher, while the Nasdaq 100 was 1% higher to approach its record high from February. Iranian and Israeli authorities refrained from pledging to retaliate the small strikes between the nations today, backing hopes of de-escalation mediated by President Trump.
In the meantime, oil continued to plunge amid signs that the Strait of Hormuz will not be impacted by the conflict. On the policy front, Fed Chair Powell reiterated patience in lowering rates until the impact of tariffs are understood well.
Tech led the gains amid the recovery in risk sentiment, with Nvidia, Alpha, and Meta over 1.5% higher. In the meantime, Starbucks gained 2% after stating it does not intend to sell its China division, contrary to reports by Caixin.
Source: Trading Economics
