The S&P 500 Index ($SPX) (SPY) on Tuesday closed up +2.91%, the Dow Jones Industrial Average ($DOWI) (DIA) closed up +2.49%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed up +3.43%. June E-mini S&P futures (ESM26) rose +2.88%, and June E-mini Nasdaq futures (NQM26) rose +3.42%.
Stock indexes rallied sharply on Tuesday in hopes that an end to the Iran war is near. The Wall Street Journal reported Tuesday that President Trump signaled he was willing to end the US military campaign against Iran even if the Strait of Hormuz remains closed. The report said Mr. Trump believes the US should wind down hostilities while pressuring Iran diplomatically to reopen the Strait. If that fails, the US will press allies in Europe and the Gulf to take the lead on reopening the waterway. US and Israeli forces pressed ahead with attacks on Iran on Tuesday, while Iran hit a Kuwaiti oil tanker off Dubai in a drone attack, and the UAE reported a drone attack.
