Oil Drops 9%, S&P Hits Third Straight Record on Hormuz Reopening
SkimNews Take
The market's immediate, dramatic response to the Strait's reopening highlights how much current valuations hinge on the absence of major supply shocks, rather than underlying economic fundamentals.
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- Iran declares Hormuz “completely open” for commercial traffic, calming market concerns.link ›
- Oil futures plunge about 10% after Hormuz announcement, shaving $10 per barrel for U.S. refiners.link ›
- S&P 500 closes above 7,000, a record peak, as equities rally on lower oil.link ›
- Nasdaq posts 1.6% gain for 11th straight session, new all‑time high above 24,000.link ›
- Bitcoin hovers near $75,000, rebounding 1.45% in 24 h, supporting crypto‑related stocks.link ›
- IMF warns of a world recession and outlines three growth scenarios if Hormuz stays shut.link ›
- Charles Schwab launches Schwab Crypto, direct Bitcoin/Ether trading for clients, challenging Robinhood.link ›
Stocks surged and oil plunged Friday after Iran announced the Strait of Hormuz is "completely open" for commercial transit during a ceasefire with the US, with the S&P 500 notching a third straight record high and the Dow jumping 869 points to fully recover its Iran war losses.
The stories behind this week
S&P 500 Hits Record High as Stock Market Looks Beyond Iran WarU.S. retirement accounts linked to the S&P 500 gain value as the index closes above 7,000.
US Nasdaq streak continues as IMF warns Hormuz shutdownIEA estimates normal oil flows will take 60‑150 days to resume if Hormuz remains shut.
S&P, Nasdaq, Dow Jump as Iran Opens Hormuz StraitOil prices fell ~10%, cutting $10 per barrel for U.S. refiners.
Charles Schwab Launches Bitcoin, Ethereum TradingSchwab's crypto platform launches now, giving clients direct Bitcoin and Ether access and challenging Robinhood.
Bitcoin capped at $75,000 as Nasdaq and S&P 500 fly to new record highsIf Bitcoin stays above $72,000, crypto stocks like Coinbase and Robinhood could see continued gains this week.
Stocks usually take the escalator up and the elevator down. In this latest rebound, it is happening in reverse.The S&P 500 erased its decline in two weeks, boosting index‑linked funds.
US Stocks Rise After Trump Israel-Lebanon CeasefireCFTC will investigate at least four suspicious oil futures trades, targeting potential insider trading.
Stock futures drop, oil surges above $100 after failed talks between U.S., IranOil over $100 per barrel pushes airline fuel expenses up this quarter.
Why it matters: Traders are pricing in de-escalation despite the US naval blockade remaining in force and oil still trading above pre-war levels, meaning the rally rests on ceasefire durability and Hormuz staying open. A breakdown in talks or renewed strait disruption would unwind the S&P's 12% rebound from its March 30 low.
