S&P 500 closes at fresh record, recovering all losses since start of US-Iran war - Reuters

<a href="https://news.google.com/rss/articles/CBMinwFBVV95cUxQR2NRdUlXMXp1NDdUYm9Ga0VkSlVjSVVhclU3Q0psVUE4ZDM4M3Y0Y0Zfdlc3OHdyT3NMZ1ZkUEtLaUtaMHZXZFJuc1k0V2VOV0NZSS1jSGdNelZCWHNMTVAxWXRTMnN3bVBreUFWeFFNdFVRcHZnTFBYVlJ6QVd0M2dJRHpfZkpycE0zWndocWNKOVpMTWNWY1hXWTJuMWM?oc=5" target="_blank">S&P 500 closes at fresh record, recovering all losses since start of US-Iran war</a>&nbsp;&nbsp;<font color="#6f6f6f">Reuters</font>

Despite recent geopolitical turmoil and the largest energy shock in history, investors have shown strong resilience, pushing the S&P 500 near its all-time high. The index closed up 1.2% on Tuesday, just 0.2% below its January 27 peak. While the war initially triggered a selloff—exacerbated by AI-driven fears and a resulting spike in oil prices—markets have rebounded significantly since a ceasefire was announced on April 7. Investors are optimistic that the war will end soon and the energy crisis, which cut off 20% of the world’s oil and petroleum supplies, won't have the severe impact seen in past shocks. This rally reflects a broader market sentiment shift, with firms like BlackRock and JPMorgan noting continued momentum and investor confidence despite inflation and economic slowdown warnings.

Wall Street on Monday ended 1% higher in a solid rebound from a negative open, helped by a rebound in software stocks, a shift in focus to the start of the earnings season, and hopes that U.S. and Iran negotiations would continue despite failed weekend talks. The S&P 500 improved 1% to close at 6,887.00 points, and with the gain, the benchmark index has now erased all losses since the Middle East conflict began. The tech-heavy NASDAQ Composite added 1.2% to settle at 23,183.74 points, reversing a fall of as much as 0.5% earlier in the session. The blue-chip Dow Jones Industrial Average climbed 0.6% to conclude at 48,219.05 points.

With news about the Iran War trending in the right direction, the S&P 500 Index has rallied strongly. The broader benchmark S&P 500 fell nearly 8% at its lows amid the Iran War. Geopolitical wars make things very unpredictable. Investors who didn't panic and remained patient are now back in the driver's seat. When the Iran war began, most major indexes sold off sharply, including the broader S&P 500. Geopolitical issues often spook investors, and oil prices spiked after Iran essentially closed the Strait of Hormuz, through which a fifth of global oil flows under normal circumstances. However, the S&P 500 has erased all losses incurred during the conflict and is now up from when the war began. Here is why long-term-oriented investors are now being rewarded.

Stocks surged on Tuesday, with the S&P 500 Index closing within sight of a fresh record as optimism on the possibility of further peace talks between the US and Iran pushed down oil prices. The benchmark index finished 1.2% higher a day after erasing its war-driven losses, extending a rebound that has brought it to the brink of its late-January peak.

Wall Street ended higher on Tuesday, with the benchmark S&P 500 index’s record closing level now in sight. Sentiment was boosted by hopes for more Middle East ceasefire talks, gains in growth stocks, and a significantly better-than-anticipated U.S. producer inflation report. The S&P 500 climbed 1.2% to close at 6,966.51 points, just about 12 points shy of its record close. The gauge on Monday erased all losses since the start of the Iran war. The tech-heavy NASDAQ Composite advanced 2% to settle at 23,639.08 points, and the blue-chip Dow Jones Industrial Average added 0.7% to conclude at 48,535.81 points.