Stocks Supported by Easing Middle East Tensions

Stocks climbed Tuesday on broad market optimism tied to easing Middle East tensions. The S&P 500 rose 0.84%, the Dow gained 1.21%, and the Nasdaq 100 added 0.47%, with the S&P 500 hitting a two-week high and the Dow reaching a 3.5-week high. U.S. crude weakness dragged oil prices sharply lower, easing inflation concerns and supporting bonds and equities. The 10-year Treasury yield fell about 5 basis points to 4.68%. WTI crude for September dropped around 6% amid hopes that the Strait of Hormuz could reopen as tensions cool, after President Trump called off a planned strike on Iran and Iran signaled progress on negotiations. Chip and AI-infrastructure shares lagged, while upbeat Q2 earnings expectations also helped.