Stocks Turn Positive for 2026 as Deal Hopes Offset Geopolitical Risks – US Market Wrap
US equities surged, pushing the S&P 500 close to a fresh record, as optimism around potential US-Iran peace talks drove oil prices lower and supported risk sentiment.
The S&P 500 climbed 1.2%, extending its rebound after fully recovering losses tied to the war. The Nasdaq 100 jumped 1.8%, marking its longest winning streak since 2021 with a tenth consecutive day of gains.
Diplomatic efforts between the US and Iran are gaining traction, with both sides looking to organize another round of talks in the coming days. However, tensions remain elevated as the standoff in the Strait of Hormuz continues to disrupt global energy markets and complicate negotiations. The aim is to hold further discussions before an April 7 ceasefire deadline ends next week.
Oil prices fell sharply, with Brent crude dropping 4% toward $95 a barrel after estimates that the conflict could erase global demand growth for the first time since the pandemic. The decline in energy prices helped ease inflation concerns.
The dollar extended its losing streak to seven sessions, while Treasuries advanced, reflecting a broader shift toward risk assets.
