Investors cheered on Wednesday after President Donald Trump said the US is in the “final stages” of the Iran war.
The news sparked shift in the market on Wednesday afternoon. US stocks jumped into the green, oil prices tumbled, and bond yields pulled back.
The tech-heavy Nasdaq led stock gains, but all three major indexes ended Wednesday’s session more than 1% higher.
Here’s where major indexes stood at the 4:00 p.m. ET closing bell:
Dow Jones Industrial Average: 50,009.35, up 1.31% (+645.47 points)
Nasdaq Composite: 26,270.36, up 1.55%
Iran war-driven inflation fears and high oil prices have helped send bond yields to their highest levels since 2007 and have threatened the stock market’s latest rally to record highs.
“We’re in the final stages of Iran. We’ll see what happens. Either have a deal or we’re going to do some things that are a little bit nasty, but hopefully that won’t happen,” Trump told a group of reporters on Wednesday.
Chip Somodevilla/Getty Images
The comment was enough to move markets, but the president reiterated that further attacks aren’t off the table.
“We’re going to give this one shot. I’m in no hurry,” Trump said, adding, “Ideally I’d like to see few people killed, as opposed to a lot. We can do it either way.”
Brent oil was down 5.5% to $104.84, while WTI oil fell under $100 dropping roughly 5.25% to $98.65.
Bond yields fell on the news with a potential end of the war offering some relief to investors’ inflation fears.
The 10-year US Treasury yield fell eight
basis points to 4.58%, while the 30-year bond yield dropped 6 basis points to 5.12%.
This isn’t the first time that Trump’s Iran war announcements have fueled market moves. The president has boosted markets before with comments on the war’s progress and the potential for a peace deal.
