The Dow jumped sharply in a broad market rally after President Donald Trump called off planned strikes against Iran, a move that pushed oil prices lower on the first trading day of the new month.
Key facts
- The Dow surged as much as 700 points during trading, according to CNBC.
- Stocks rose after President Donald Trump called off planned strikes against Iran.
- Oil prices slid following the decision.
- The rally came on the first trading day of the new month.
U.S. stocks climbed sharply in a broad rally, with the Dow surging as much as 700 points, according to CNBC’s live coverage of the market. The gains marked a strong start to the first trading day of the new month.
The move higher followed news that President Donald Trump called off planned strikes against Iran. According to CNBC, that decision helped ease geopolitical tensions that had been weighing on markets.
The pullback in tensions also sent oil prices lower. Falling crude prices can relieve pressure on businesses and consumers by reducing energy and fuel costs, and are often welcomed by equity investors.
CNBC’s live updates reflected the scale of the rally as the session progressed, with the Dow’s gains cited at both 500 and 700 points across the outlet’s coverage during the day.
The combination of reduced geopolitical risk and lower oil prices contributed to the broad-based advance across stocks, according to CNBC.
As a developing market story, figures were updated throughout the trading session in CNBC’s live blog.
Why it matters
Geopolitical flashpoints involving Iran can quickly ripple through global energy markets and investor sentiment. When tensions ease and oil prices fall, it can lower costs for consumers and businesses while lifting stocks, making decisions like calling off military strikes significant well beyond foreign policy.
Frequently asked questions
Why did stocks rise?
According to CNBC, stocks rose after President Donald Trump called off planned strikes against Iran, which sent oil prices lower.
How much did the Dow gain?
CNBC reported the Dow surged as much as 700 points during the trading session, with its live coverage also citing gains of 500 points earlier in the day.
What happened to oil prices?
Oil prices slid after the planned strikes against Iran were called off, according to CNBC.