Dow, S&P 500, Nasdaq Surge; Oil Plunges on US-Iran
Why it matters: The ceasefire led to Brent crude futures falling over 11% to $96 per barrel.
- Dow Jones Industrial Average jumped 2.8%, or over 1,300 points, while the S&P 500 soared 2.5% and the Nasdaq Composite vaulted 2.8%.
- Brent crude futures (BZ=F) fell over 11% to $96 per barrel, and West Texas Intermediate crude (CL=F) dove almost 14% to about $96.
- President Trump announced a two-week suspension of hostilities in return for Tehran lifting its blockade of the Strait of Hormuz via Truth Social.
- Iran’s minister of foreign affairs, Abbas Araghchi, confirmed acceptance, stating operations would cease and safe passage through the Strait of Hormuz would be possible.
- Delta Air Lines (DAL) stock jumped after reporting Q1 earnings that beat expectations, citing premium business growth.
- Bitcoin jumped more than 3% to above $71,000 after Iran suggested tolls on the Strait of Hormuz could be paid in crypto.
- Meta (META) gained over 6% after announcing a new AI model, Muse Spark, to rebuild its artificial intelligence efforts.
US stocks surged and oil prices plunged after a two-week ceasefire between the US and Iran was announced, easing concerns about inflation and potential interest rate hikes. Both President Trump and Iran's foreign minister confirmed the agreement, which includes a reopening of the Strait of Hormuz for safe passage.
