Markets rallied today as major U.S. stock indexes closed higher, while oil prices plunged sharply in a dramatic shift driven by cooling geopolitical tensions in the Middle East.
The S&P 500, Dow Jones, and Nasdaq all posted gains, led by strong performances in the tech and consumer sectors. Investors appeared more confident after recent missile strikes in the Gulf region were deemed largely symbolic, reducing fears of immediate disruption to global markets.
Meanwhile, oil prices fell significantly—West Texas Intermediate (WTI) dropped over 6%, and Brent crude slid more than 5%. The sharp decline was fueled by expectations of stable energy supply and a lack of escalation in regional conflict. Energy stocks, however, lagged as the sector was weighed down by the falling price of crude.
Investor sentiment was further boosted by speculation of potential Federal Reserve rate cuts in the coming months, adding to the momentum in equity markets.
As volatility eases for now, markets will continue to monitor geopolitical developments and upcoming economic signals for signs of further direction.
