Wall Street stocks rebound as U.S.-Iran truce lifts risk sentiment

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Wall Street stocks rebound

Highlights

The S&P 500 and Nasdaq reversed five-day losing streaks and the Dow reached a record closing high as U.S.-Iran de-escalation lifted risk appetite.
U.S. WTI crude rose 2.2%, Brent climbed 1.6%, gold retreated, and the dollar stayed near a 13-month high as risk-on sentiment returned.
Comcast shares surged on NBCUniversal spinoff news, chip stocks rebounded, and Supreme Court decisions affected mail-in ballot rules and federal appointments.

Market rebound driven by easing geopolitical tensions

As reported by Reuters, U.S. stocks rise on Monday alongside global peers after the U.S. and Iran halt attacks and take steps toward de-escalation, improving risk appetite across markets. The S&P 500 and Nasdaq snap five-day losing streaks, while the blue-chip Dow finishes at an all-time closing high.

Other asset classes also reflect a partial return to risk-taking. The dollar slips but stays near a 13-month high, U.S. Treasury yields edge higher as focus turns to jobs data, and crude settles higher, with U.S. WTI up 2.2% and Brent up 1.6%, while gold falls amid renewed inflation and rate hike concerns.

Corporate and policy developments shape investor focus

At the company level, Comcast shares jump on news of an NBCUniversal spinoff, while chip stocks recover, helping lift broader market sentiment. European shares remain steady as investors continue to watch the Middle East peace process for signs that the recent pause in hostilities can hold.

Investors are also tracking major U.S. Supreme Court decisions as its term winds down. On Monday, the court rules against a Republican challenge to Mississippi's five-day grace period for mail-in ballots, backs President Donald Trump's firing of a Democratic member of the Federal Trade Commission, and blocks the president's dismissal of a member of the U.S. Federal Reserve Board of Governors.

A sharp drop in Brent prices back toward pre-war levels suggests some normalization in energy markets, but supply flows remain fragile. That leaves traders weighing whether the rebound in risk assets can continue smoothly as the broader system adjusts.

Our earlier analysis of the S&P 500 rebound highlighted how expectations for a strong U.S. earnings season—supported by continued AI investment and solid energy-sector profits—helped lift the index, even as it faced resistance near the 20-day moving average. We also noted that surprise U.S. employment data could quickly shift Federal Reserve expectations and amplify volatility, making key technical levels important for traders to watch.

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