Stocks Jump As U.S. And Iran Halt Hostilities And Resume Negotiations; Dow Closes At New Record
Stocks jumped on Monday in a volatile session as the U.S. and Iran halted hostilities and are set to resume negotiations on Tuesday.
The S&P climbed more than 1%, while the tech-heavy Nasdaq Composite did so by more than 2%. The Dow Jones Industrial Average gained 0.59%, reaching a new record.
Geopolitical concerns eased after President Donald Trump said that U.S. officials will travel to Qatar to discuss Iran after Washington and Tehran agreed to halt strikes in the Strait of Hormuz.
“IRAN HAS REQUESTED A MEETING. IT WILL TAKE PLACE TOMORROW IN DOHA!” Trump said in a social media post.
Citing a white House official, Axios reporter Barak Ravid noted that special envoys Steve Witkoff and Jared Kushner will meet with the Qatari Prime Minister and other officials to discuss the deal and on Wednesday officials from Washington and Tehran will meet separately with Qatari and Pakistani mediators to discuss technical aspects of the agreement.
Oil prices climbed despite the development. Brent crude, the international benchmark, climbed 1.61% and clocked in at $73.77 a barrel at 4:05 p.m. ET, while West Texas Intermediate, the U.S. benchmark, gained 1.91% and went back above $70 a barrel at the same time.
Elsewhere, Trump vowed to continue efforts to remove Lisa Cook from the Federal Reserve’s board following an adverse Supreme Course ruling.
In a social media post, Trump said that the lawsuit, “having to do with her suitability in sitting on the Board of the Federal Reserve, was sent back by the Supreme Court on a strictly procedural basis.”
“We will take appropriate action immediately to make sure that someone who has committed wrongdoing will not be making vital decisions concerning the Welfare of the United States of America,” Trump added.
The ruling in question blocked Trump’s attempt to remove Cook, leaving her in office while the legal challenge over her dismissal returns to the lower courts.
In a 5-4 decision, the high court ruled that Trump failed to provide Cook with the procedural protections required under federal law before attempting to remove her.
Chief Justice John Roberts, writing for the majority, said Cook had not been given the opportunity to properly respond to the allegations made against her before the dismissal was announced, according to Reuters.
The accusation in question claims that Cook committed mortgage fraud. She denied the allegations against her and welcomed the court’s decision, saying it reaffirmed the Federal Reserve’s obligation to make monetary policy decisions independently and free from political interference.
