Wall Street climbs after Trump’s assurance to stabilize global energy market, crypto stocks rally
As of 11:15 a.m. Eastern Time, the S&P 500 rose 0.6%. The Dow Jones Industrial Average was up 0.5% and the Nasdaq Composite surged 1.1%.
US stock indices climbed on Wednesday as market sentiment shifted toward cautious optimism following President Donald Trump's assurance to stabilize global energy market amid the escalating Middle East conflict.
As of 11:15 a.m. Eastern Time, the S&P 500 rose 0.6%. The Dow Jones Industrial Average was up 0.5% and the Nasdaq Composite surged 1.1%.
At the opening bell, the Dow Jones Industrial Average rose 134.33 points or 0.28% to 48,629.08. The S&P 500 rose 15.1 points, or 0.22%, to 6,831.69, while the Nasdaq Composite rose 104.2 points, or 0.46%, to 22,620.89.
CFRA Research's Sam Stovall cited President Trump's pledge to direct the US Navy to provide safe passage to oil tankers in the Strait of Hormuz, a critical waterway where traffic has slowed considerably since the US-Israeli siege on Iran, sending oil prices higher, according to AFP.
"It seems as if the market is shaking off some of the uncertainty surrounding Iran," Stovall said.
On the economic data front, a report from ADP showed private employers added 63,000 jobs in February, more than the 48,000 that analysts projected.
In the bond market, the yield on the 10-year Treasury rose to 4.07% from 4.06% late on Tuesday.
Key Stock Movers
Energy stocks declined, with ConocoPhillips and Cheniere Energy losing 2.8% and 1.5%, respectively.
Crypto stocks rallied tracking a 5.4% jump in Bitcoin. Strategy soared 11.5% and Coinbase surged 9.3%.
Moderna shares rose 5.9% after the drugmaker agreed to pay up to $2.25 billion to settle a long-running legal fight over a COVID-19 vaccine patent.
Crude Oil
Oil prices erased earlier gains on Wednesday on a media report that Iran indirectly reached out to the US in a bid to end the war in the Middle East.
Brent steadied near $81 a barrel, after surging in the previous two sessions.
The New York Times reported that operatives from Iran’s Ministry of Intelligence reached out to the CIA through another country’s spy agency with an offer to discuss terms for ending the conflict.
However, Iran denied the reports of back channel diplomatic talks. Its semi-official Tasnim news agency said that is “pure falsehood and psychological warfare”.
Bullion Market
Gold prices surged on Wednesday as the escalating Middle East conflict boosted safe-haven bids.
At 1412 GMT, spot gold rose 1.6% to $5,166.75 per ounce. On Tuesday, it fell more than 4%.
US gold futures for April delivery gained 1.1% to $5,177.60.
Following gold prices, spot silver climbed 3.1% to $84.55 per ounce after falling more than 8% in the previous session.
Spot platinum jumped 3.8% to $2,160.64 while palladium advanced 3.5% to $1,705.71.
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With a distinguished career spanning nearly two decades at the highest levels of financial journalism, Rajendra Kumar Saxena stands as a cornerstone of the editorial leadership team at Livemint.com. In his current capacity as Content Editor, he is responsible for managing the comprehensive editorial lifecycle of the publication. His role is multifaceted, encompassing the strategic selection of high-impact stories, original reporting, and meticulous editing. <br> Furthermore, Rajendra is instrumental in executing a sophisticated Search Engine Optimization (SEO)-driven content strategy, ensuring that the platform's digital content reaches a global audience while maintaining the highest standards of journalistic integrity and accuracy prior to publication. <br> Rajendra’s professional journey is characterized by a profound expertise in a wide array of critical sectors. His analytical depth covers global economics, commodities, and stock market dynamics (across both Indian and United States landscapes). <br> Beyond the financial markets, he possesses a keen understanding of political affairs, banking and finance, foreign affairs, and the rapidly evolving technology sector. <br> His eighteen years journey in financial and business journalism includes a significant tenure at Financialexpress.com and freelance contributions to The Hindu. <br> Currently based in Delhi, Rajendra holds a Master of Journalism degree from the prestigious Makhanlal Chaturvedi National University of Journalism and Communication (MCNUJC). His blend of academic rigor and decades of on-the-ground experience makes him a leading voice in navigating the complexities of today’s financial world.
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