Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., April 13, 2026.
Brendan McDermid | Reuters
Stocks moved higher on Tuesday following a strong session in which traders shrugged off a breakdown in peace talks between the U.S. and Iran, yet were optimistic that a deal between the two countries was still possible.
The S&P 500 rose 1.1% and now stands just less than 1% below its 52-week high. The Dow Jones Industrial Average added 310 points, or 0.6%, while the Nasdaq Composite advanced 1.8%.
Technology stocks supported the broader market for another day. Oracle, for example, rose 4%, building on the more than 12% gain it saw in the prior trading day. Nvidia and Palantir Technologies also continued their climb.
Wall Street once again proved resilient in the face of increased geopolitical uncertainty. The major averages posted solid gains to start the week even after U.S.-Iran negotiations over the weekend broke down. President Donald Trump also said Monday that, “We’ve been called by the other side.” He also said: “They’d like to make a deal very badly.”
Monday’s gains erased the S&P 500 losses suffered since the Iran war began.
SPX since Iran war began
“I don’t want to rule out that there could be a re-escalation and more downside from here, but I think it’s unlikely. I think the market is already pricing in some level of anxiety about Iran,” said Ross Mayfield, Baird investment strategist. “It seems that we’re back near all-time highs with a much cleaner positioning incentive and backdrop and on the heels of an earnings season that should kind of facilitate some bullishness as well.”
When it comes to Iran, Mayfield is optimistic that the conflict is not going to last into the second half of the year. A White House official told CNBC Tuesday that a second round of U.S.-Iran negotiations is under discussion. To be sure, nothing has been officially scheduled at the moment.
Crude prices reversed course from their gains in the prior day. West Texas Intermediate crude futures was last down 7%, trading above $91 a barrel, while Brent crude shed 4% to trade above $95.
Also helping sentiment was the release of March’s producer price index reading, as the index rose much less than expected on the month.
Still, shares of some companies came under pressure after the release of fresh earnings results. Wells Fargo posted disappointing numbers, pushing the stock down more than 5%. JPMorgan Chase reported better-than-expected Q1 figures, but it cut its net interest income guidance. That sent the stock marginally lower.
