US stocks closed the session in positive territory, even as geopolitical tensions in the Middle East remain elevated. Investors are balancing optimism around potential diplomatic progress with concerns over further escalation that could impact the global economy.
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Indexes Gain While Currencies Stay Calm
The broader S&P 500 index rose by 0.44% to 6,611.83 points, while the Dow Jones added 0.36% to close at 46,669.88 points. The tech-heavy Nasdaq Composite led the gains, climbing 0.54% to 21,996.34 points. The upward move was largely driven by cautious optimism around a possible de-escalation, although markets remain on edge.
In the currency market, movements were more subdued. The euro strengthened slightly against the dollar by 0.22% to 1.1543 USD and gained the same against the Japanese yen to 184.33 JPY. The dollar remained nearly unchanged versus the yen at 159.69, while the US Dollar Index hovered around 99.98, reflecting a wait-and-see approach among investors.
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Geopolitics Continues to Drive Market Sentiment
Developments in the Middle East remain the key driver. US President Donald Trump issued a sharp warning to Iran, threatening strikes on critical infrastructure if the Strait of Hormuz is not reopened. At the same time, reports emerged about a ceasefire proposal mediated by Pakistan, which has not been accepted.
According to available information, both sides have rejected the proposal. Iran is calling for a permanent end to the conflict, while the US administration signals continued pressure. As a result, markets remain highly sensitive, with any new development capable of quickly shifting sentiment and price action across global assets.
Source: ČTK
