U.S. stocks rise on potential Middle East ceasefire deal
The Dow Jones Industrial Average gained 165.21 points, or 0.36%, to 46,669.88, the S&P 500 added 29.33 points, or 0.45%, to 6,612.02 and the Nasdaq Composite rose 117.16 points, or 0.54%, to 21,996.34
U.S. stocks rose on Monday as investors looked for signs of progress toward a U.S.-Iran ceasefire deal and evaluated President Donald Trump’s threats of escalation should Iran fail to reopen the Strait of Hormuz.
Iran has rejected the U.S. proposal for an immediate ceasefire, insisting instead on a permanent end to the war, according to the Islamic Republic News Agency (IRNA).
Investors drew some reassurance from a report that indicated the U.S., Iran and a group of mediators continued to discuss terms of a potential ceasefire.
All three major U.S. indexes rose slightly, with the S&P 500 and the Nasdaq on track for the fourth consecutive day of gains, their longest winning streaks since January.
The Dow Jones Industrial Average gained 165.21 points, or 0.36%, to 46,669.88, the S&P 500 added 29.33 points, or 0.45%, to 6,612.02 and the Nasdaq Composite rose 117.16 points, or 0.54%, to 21,996.34.
The reality is we’re inching, hopefully, closer to some type of resolution, said Ryan Detrick, chief market strategist at Carson Group in Omaha. Unfortunately, it’s not going to be today. But I think investors are feeling like we’re seeing more talking on each side.
The day-to-day volatility and headlines can be rather nauseating, Detrick added. But there’s a sense of optimism in the air with this upcoming earnings season, which starts very soon, that corporate America once again will show solid, solid performance and likely justifying what we still think is a bull market.
The U.S.-Israeli war on Iran has roiled markets for a little over a month. Spiking crude prices stoked inflation fears, and stocks have tumbled. Even though the S&P was on track for its fourth consecutive session of gains, the bellwether index remains down 3.9% since the war began.