Upbeat signs of de-escalation in the US-Iran conflict pushed the Nasdaq Composite and S&P 500 to new highs on Wednesday as Bitcoin moved towards the $75,000 mark.
summary
- The Nasdaq and S&P 500 indexes reached all-time highs on Wednesday with technology stocks rising more than 2% after signs of a possible diplomatic breakthrough in the Middle East.
- Bitcoin rose above $75,000 to continue its two-week rally, while JPMorgan and Bernstein analysts identified the current market environment as a tactical entry point for investors.
- President Donald Trump has stated that the conflict with Iran is very close to being over, though he has emphasized that a final solution still depends on a successful negotiated agreement.
Yahoo Finance Data It appears that the Nasdaq Composite Index rose by 1.59%, closing at 24,016.02, while the S&P 500 Index rose by 0.8%, closing at a peak of 7,022.95. These gains were largely driven by the technology sector, which rose 2.08% during the session.
In the digital asset space, bitcoin rose 1.07% to $75,229, extending a two-week rally that saw the cryptocurrency’s value rise nearly 10%.
Market sentiment improved after the White House’s comments on… Ongoing tensions in the Middle East.
President Donald Trump He said Fox Business on Wednesday called the war “very close to being over,” though he noted that a final resolution depends on successful negotiations.
“If you raise the stakes now, it’s going to take 20 years to rebuild that country. And we’re not done yet,” Trump said.
The White House indicated that a second round of negotiations is expected to resume in Islamabad this week.
Vice President J.D. Vance, who recently arrived in Pakistan for these talks, noted that while the administration is seeking a “grand bargain,” a “major trust deficit” remains between the two countries.
Trump noted that the extent of the damage to Iran left it with no choice but to negotiate, claiming that the country had been “hit hard” and that its leaders “desperately want to reach an agreement.”
Analysts expect the rise to continue
Tom Lee, chief investment officer at Fundstrat, told CNBC’s “Closing Bell” on Wednesday that the stock market has remained resilient despite geopolitical friction, adding that many investors are currently holding money on the sidelines, waiting for more clarity on the conflict before returning to the market.
In the last X mail“Stocks bottomed on bad news,” not good news, suggesting the current environment could support a continued move higher, Lee said.
While the broader market has performed well, Lee expects the next leg of this rally will be led by the “Big Seven” technology stocks, the software sector, and crypto assets such as Bitcoin and Ethereum.
