Trump Announces U.S.-Iran Deal Near Completion, Stocks Surge

U.S. President Trump announced on social media Thursday that negotiations with Iran have received approval from Iranian top leadership, with all parties reaching a consensus on the terms and details of a deal. Later, at the Oval Office, he confirmed to reporters that he had called off planned airstrikes and bombing operations scheduled for that evening, noting that both sides are on the verge of signing an agreement, with the document now in the finalization stage. Trump emphasized that the maritime blockade will remain in effect until the deal is finalized.

This move triggered a rapid reversal in market sentiment, which had been strained by Trump’s previous threats to strike Iran and take full control of its energy sector. The Dow Jones Industrial Average closed up 929.97 points, or 1.86%, at 50,848.75. The S&P 500 gained 1.75% to close at 7,394.30, while the Nasdaq Composite surged 2.54% to finish at 25,809.66.

The easing of geopolitical tensions led to a dramatic reversal in the crude oil market. Brent crude futures plummeted over 4%, dropping below $90 a barrel to hover near $89. West Texas Intermediate (WTI) also fell more than 4%, settling at $87.71 per barrel. Although the U.S. Producer Price Index (PPI) for May rose by 6.5% year-on-year—the largest increase since 2022—the retreat in oil prices effectively quelled market anxieties regarding inflationary pass-through.

Tech Stocks Rally, SpaceX IPO Triggers Capital Rotation

Technology and semiconductor stocks staged a collective comeback on Thursday. The Philadelphia Semiconductor Index and the iShares Semiconductor ETF both posted gains of nearly or exceeding 8%, reversing their previous downward trend.

Investors are also holding their breath for the SpaceX initial public offering (IPO) scheduled for Friday. SpaceX is issuing 556 million common shares at $135 each, raising $75 billion. This marks the largest IPO in history, bringing the company's valuation to $1.8 trillion.

Crypto Market Recovers with U.S. Equities; BTC and ETH Up Over 3%

Against the backdrop of a broader recovery in risk appetite, the digital asset market followed U.S. stocks higher. Bitcoin (BTC) has risen 3.09% over the past 24 hours, with its price reclaiming the $63K level.

Ethereum (ETH) also demonstrated resilience, gaining 3.15% over the last 24 hours. Its price action remains highly correlated with the recovery in U.S. tech stocks, trading at $1,670 at the time of writing.

Analysts pointed out that the recent synchronized weakness in the crypto market and tech sector may have been driven by investors rebalancing portfolios or offloading positions to liquidate capital in preparation for Friday’s historic SpaceX IPO. With geopolitical risks cooling and the three major U.S. indices marking their best single-day performance since April, the crypto market has successfully stabilized and rebounded, alleviating the downward pressure observed in recent days.

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