US Stock Market Today: NASDAQ 100 Eyes Longest Winning Streak Since 2021 as Oil Prices Slide Further

US stocks rose on Tuesday as lower oil prices and renewed hopes for US-Iran talks improved sentiment across global markets. The NASDAQ 100 moved toward its longest winning streak since 2021, while the S&P 500 and Dow also gained. Traders also reviewed softer US producer price data and a fresh round of corporate earnings, which helped keep attention on both macro risks and company results.

Stocks Climb as Oil Prices Fall

Wall Street’s main indexes advanced in morning trading. The S&P 500 rose 0.7%, the NASDAQ 100 gained 0.9%, and the Dow Jones Industrial Average added 0.5%. The rally extended to other regions, with the Stoxx Europe 600 up 0.9% and the MSCI World Index rising 1%.

The move came as oil prices pulled back sharply. West Texas Intermediate crude fell 4.8% to $94.31 a barrel, while Brent dropped toward $96. This eased some pressure on markets after weeks of concern that the Middle East conflict could disrupt energy supplies and push inflation higher.

Reports that the US and Iran may resume talks also supported risk appetite. Iran is weighing a short-term pause in shipments through the Strait of Hormuz as both sides prepare for another meeting, according to a person familiar with the matter. This helped calm fears of a deeper supply shock.

Charu Chanana, chief investment strategist at Saxo Markets, said, “Markets were already leaning toward the view that diplomacy would stay alive in some form.” She added, “This signal matters because it turns that hope into something more tangible, and that is enough to reinforce the relief trade.”

Bonds Gain After Softer Producer Price Data

Government bonds also moved higher as investors assessed US inflation figures. The yield on 10-year Treasuries fell two basis points to 4.28%. Germany’s 10-year yield dropped six basis points to 3.03%, while Britain’s 10-year yield declined eight basis points to 4.79%.

US producer prices rose less than expected in March despite higher energy costs linked to the war. The producer price index increased 0.5% from a month earlier, while the core measure that excludes food and energy rose 0.1%. The data followed last week’s consumer inflation report, which showed higher gasoline prices but softer underlying inflation.

The latest figures gave traders some relief that broader price pressures may stay contained if oil continues to ease. This also weighed on the dollar. The Bloomberg Dollar Spot Index fell 0.4%, while the euro rose 0.4% to $1.1801, the British pound gained 0.5% to $1.3576, and the Japanese yen strengthened 0.4% to 158.79 per dollar.

Ed Yardeni of Yardeni Research wrote, “The war in the Middle East is proving to be the latest stress test for the US economy, which seems to be passing it, so far.”

Earnings from Big Banks Shape Sentiment

Investors also tracked first-quarter results from major financial firms. Citigroup rose 1.9% after reporting its highest quarterly return in five years on tangible common equity. The bank’s trading desks benefited from market volatility, lifting revenue.

JPMorgan posted record quarterly trading revenue in the first three months of the year. Its shares, however, slipped after the release. Wells Fargo dropped 5% after interest income missed market expectations. BlackRock advanced after reporting higher quarterly profit and $130 billion in net inflows.

Johnson & Johnson also reported first-quarter sales above Wall Street expectations and raised its full-year outlook, helped by demand for newer medicines. In other corporate developments, United Airlines and American Airlines rose after reports of merger discussions, while Lucid Group named a new chief executive and announced $750 million in fresh backing from its two largest investors.

Barclays equity derivatives strategists led by Stefano Pascale wrote, “A near-term grind-higher in equities remains possible if the ceasefire holds and earnings surprise to the upside, but this window looks inherently unstable.”

Energy Shares Lag as Crypto and Gold Rise

Energy stocks moved lower as crude prices retreated. The S&P 500 Energy Sector Index fell as much as 3.1%, bringing it close to levels seen before the war-driven rally. The decline reflected profit-taking after a strong run in recent weeks.

Rob Thummel, senior portfolio manager at Tortoise Capital, said, “There’s been such a wide run up in energy stocks, a little bit of a profit taking would make sense.” He added, “When you see a pretty substantial decline in oil prices, energy stocks tend to follow that.”

Elsewhere, Bitcoin rose 2.4% to $74,941.84, and Ether gained 4.2% to $2,348.89. Spot gold climbed 1.1% to $4,793.49 an ounce. These moves showed that investors added to risk assets as market confidence improved, while some still kept exposure to defensive holdings.

Also Read: FTSE 100 Live: Index Opened Higher Amid Reports of Peace Talks Between US-Iran