US Stocks Soar as Trump Cancels Iran Strikes, Oil Prices Plummet
US stocks surged on Monday after President Donald Trump announced he had cancelled planned military strikes against Iran, boosting hopes for renewed diplomacy and sending crude oil prices sharply lower. The Dow Jones Industrial Average climbed over 600 points in early trading, with the S&P 500 gaining about 0.4% and the Nasdaq Composite advancing 0.2%. Technology giants like Microsoft, Alphabet, Amazon, and Meta Platforms traded higher, while semiconductor stocks came under pressure.
Crude prices plummeted after Trump's announcement, with Brent crude futures falling nearly 6% to around $83.03 a barrel and West Texas Intermediate (WTI) futures dropping more than 7% to $78.59 a barrel. Trump said the planned strikes were halted following requests from Saudi Arabia, the United Arab Emirates, Qatar, and Iran, adding that negotiations between Washington and Tehran could begin this week.
However, Iran's foreign ministry spokesperson contradicted Trump's claim, stating there were no immediate plans for peace talks. Despite this, the market reaction was overwhelmingly positive, with investors seemingly optimistic about a potential breakthrough in US-Iran relations.