U.S.-Iran Peace Hopes Drive S&P 500, Nasdaq Rebound

U.S.-Iran negotiations in Islamabad failed to resolve disagreements on Iran’s enriched uranium stockpile, the reopening of the Strait of Hormuz, and the release of frozen Iranian funds. Despite this, President Trump stated Iran contacted the U.S. with intentions to reach a deal.

JPMorgan urged long-term investors to buy the dip, while Morgan Stanley declared the S&P 500 correction "largely over." Information technology was the top-performing sector, driven by software stocks like Oracle (ORCL), SanDisk (SNDK), and ServiceNow (NOW), recovering from a previous selloff. Conversely, the utilities sector, including PG&E (PCG) and Edison International (EIX), experienced the largest drawdown as demand for defensive positioning eased.

Dell (DELL) and HP (HPQ) surged on speculation of a major Nvidia (NVDA) acquisition. Goldman Sachs (GS) faced pressure as its fixed income revenue fell 10%, missing estimates.