US stocks climb amid hopes for diplomacyhopes for diplomacy in ongoing US-Iran war
US stocks rose on Monday, with the S&P 500 up 0.6%, the Dow gaining 0.2%, and the Nasdaq advancing 0.8%, recovering some losses from the US-Iran war that began in late February. Oil prices briefly topped $100 per barrel after 21 hours of ceasefire talks failed over the weekend but later eased. Markets showed optimism that diplomacy could still avert a severe economic downturn.
The war has hit sectors like metals, mining, mortgage finance, and residential construction hardest, with the Morningstar US Market Index down 4.3% since February 28, while oil and gas stocks have gained from higher energy prices. Weaker US home sales in March added pressure amid rising rates tied to war-driven inflation fears. Renewed talks between the US and Iran lifted sentiment, marking the stock market's best nine-day stretch since 2023.
- The Strait of Hormuz spans just 21 miles at its narrowest, heightening risks to global oil flows.
- Charles Dow co-founded Dow Jones in 1882, pioneering financial journalism.
- Morningstar, founded in 1984, analyzes over 600,000 investments worldwide.
US-Iran Ceasefire War
The United States launched military strikes against Iran on June 26, 2026, in response to a drone attack on a commercial cargo ship in the Strait of Hormuz, calling it a "foolish violation" of the 60-day ceasefire agreement signed just days earlier[2][4][14].
26 June, 09:35 PM
US launches strikes against Iran following commercial ship attack26 June, 04:47 PM
Trump calls Iran drone attack on cargo ship a ceasefire violation
