US stocks surged on Wednesday, while oil prices cratered amid relief after the US and Iran agreed to a two-week ceasefire that could lead to a reopening of the Strait of Hormuz to shipping. The S&P 500 (^GSPC) soared 2.5%, while the tech-heavy Nasdaq Composite (^IXIC) vaulted 3.5%. The Dow Jones Industrial Average (^DJI) jumped 2.9%, or over 1,300 points. Global markets saw a return of risk appetite after President Trump called for a two-week suspension in hostilities in return for Tehran lifting its blockade of the Strait of Hormuz. He wrote on Truth Social: “I agree to suspend the bombing and attack of Iran for a period of two weeks. This will be a double sided CEASEFIRE!” Iran?s minister of foreign affairs, Abbas Araghchi, confirmed acceptance of the terms in a statement shortly after Trump?s announcement, saying if attacks on Iran are halted, its own operations would cease and that ?for a period of two weeks, safe passage through the Strait of Hormuz will be possible via coordination with Iran?s Armed Forces.? Some ships have since transited the crucial 21-mile-wide waterway, signs of a reopening that will have the most direct effect on energy markets. Oil prices sank, with Brent crude futures (BZ=F) falling over 16% to just above $91, and West Texas Intermediate crude (CL=F) diving almost 18% to about $93. Oil’s plunge helped fuel bets that the Federal Reserve will resume interest rate cuts this year, given the lower risk of sticky inflation. Minutes from the Fed’s March meeting due for release on Wednesday could shed light on policymakers’ thinking around Iran war impacts on the economy. On the corporate front, Delta Air Lines (DAL) stock jumped after it reported first quarter earnings that beat expectations. The airline said growth in its premium business will continue to deflect major concerns such as fuel costs and the ongoing government shutdown affecting TSA workers. LIVE 13 updates Mortgage applications fall thanks to higher rates Mortgage applications are falling, and weeks of rising rates are likely to blame. Combined refinancing and purchase mortgage applications were down 0.8% through Friday, according to Mortgage Bankers Association data. Lower refinancing activity was responsible for the bulk of that drop, falling 3% from a week earlier and trending 4% lower than a year ago. Purchase volumes, meanwhile, were up 1% from a week earlier. “Higher mortgage rates and continued economic uncertainty weighed down on mortgage applications again,” Joel Kan, MBA?s vice president and deputy chief economist, said in a statement. In the last month, mortgage rates rose from multiyear lows of below 6% to around 6.5%. That jump has closed the refinancing window for some borrowers. The MBA estimated that 30-year conventional mortgage rates averaged 6.51% last week, down slightly from 6.57% a week earlier, but still high enough to give potential borrowers pause. 5 mins ago Stocks rally at the open as Iran ceasefire relief sweeps through markets A two-week ceasefire between the US and Iran sparked a relief rally in markets at the open. The S&P 500 (^GSPC) surged 2.5%, while the tech-heavy Nasdaq Composite (^IXIC) jumped 3.5%. The Dow Jones Industrial Average (^DJI) added more than 1,300 points, or about 3%, to trade at its highest level in over a month. Oil prices tumbled well below the $100-per-barrel threshold. Futures on West Texas Intermediate (CL=F) crude traded around $92 per barrel, while Brent (BZ=F), the international benchmark, fell to $91 per barrel. The 10-year yield (^TNX) also fell 9 basis points to 4.25% as inflation expectations eased on the potential of coordinating traffic through the Strait of Hormuz. Expectations of a Federal Reserve interest rate hike in the coming months also eased, according to CME Group’s FedWatch. We’re also watching the dollar index (DX-Y.NYB), which has dropped 1.2% to below 100 (for more on that, see my colleague Jared Blikre’s post below). 25 mins ago Dollar tumbles as the fear trade breaks The dollar is cratering as it loses its war premium. The US dollar index (DX-Y.NYB) is in the midst of its third-biggest decline this year, wiping out all the gains since March 3. The Bloomberg dollar spot index has erased its entire 2026 gain. Meanwhile, risk markets are surging ? especially foreign equities that suffered as the dollar ripped higher off its January lows. The iShares MSCI Emerging Market ETF (EEM) is already on track for its biggest jump since the post-“Liberation Day” mammoth surge on April 9, 2025. South Korea (EWY) leads the world in country exchange-traded funds with a gain of more than 10%. Chile (ECH) is up 7%, while Taiwan (EWT), Turkey (TUR), the UAE (UAE), Mexico (EWW), Japan (EWJ), and India (INDA) are all up more than 5%. Gold (GC=F) and copper (HG=F) futures are gaining 3%, while silver (SI=F) and platinum (PL=F) are surging 7%. This puts all the “dollar wrecking ball” headlines on the back burner for now. Today at 12:30 PM UTC The AI industry knows it has a massive image problem While the AI transformation is built on the hopes of augmented productivity, the expected downside that comes with it is job displacement on a massive scale. The industry knows just how big a problem this could become. Yahoo Finance’s Hamza Shaban reports: Read more here in the takeaway from today’s Morning Brief. Today at 12:08 PM UTC Exxon shares fall as company says war in Middle East will lower Q1 oil-equivalent production by 6% Shares in energy giant Exxon Mobil (XOM) fell roughly 5.5% in premarket trading on Wednesday after the company said conflict in the Middle East will likely lower its first quarter global oil-equivalent production by 6% on a quarter-on-quarter basis. The Middle East accounts for roughly 20% of Exxon’s upstream assets and 5% of its global refining and chemical capacity, the company said in a regulatory filing published Wednesday. Exxon explicitly cited attacks on two LNG assets at Qatar’s Ras Laffan LNG export terminal, which the company said accounted for 3% of its 2025 global upstream production, with reports indicating that “the damage will take a prolonged period to repair.” Volume disruptions in the Middle East, which include production disruptions, shutdowns, and lower availability of crude deliveries, are expected to have a negative impact of roughly $300 million to $500 million on first quarter results. On the other hand, Exxon said it expects a positive impact of $1.9 billion to $2.3 billion on the quarter’s results due to heightened oil prices. As Exxon looks to address the shortfalls caused by conflict in the Middle East, the company noted it is “increasing Permian production to 1.8 million oil-equivalent barrels in 2026, optimizing logistics and crude and product flows, and maximizing refinery throughput wherever safe and feasible.” Today at 11:01 AM UTC Delta stock jumps after Q1 earnings beat Delta (DAL) stock surged 12% before the bell on Wednesday following the release of its positive first quarter earnings. Yahoo Finance’s senior reporter Pras Subramanian discusses the latest earnings release from the airline giant. Read more here. Today at 10:29 AM UTC Fed’s vice chair says oil price shock complicates inflation outlook Yahoo Finance’s Jennifer Schonberger reports: Federal Reserve Vice Chair Philip Jefferson said Tuesday that the jolt in energy prices complicates his inflation outlook, and depending on how long the Middle East conflict lasts, elevated oil prices could weigh on consumer and business spending. ?It is difficult to say how long the conflict in the Middle East and related disruptions could last,? Jefferson said in a speech in Detroit. ?I am highly attentive to the fact that inflation has remained above the Fed?s 2 percent target for five years ? That is why I am committed to returning inflation to our target.? Read more here. Today at 10:16 AM UTC How the math works on a $1.75 trillion SpaceX valuation Elon Musk’s SpaceX (SPAX.PVT) is seeking a $1.75 trillion valuation in its forthcoming IPO ? a huge number that would immediately make it the sixth most-valuable listed company. Here’s an analysis of the math behind that lofty figure. From Reuters: Today at 9:45 AM UTC Premarket trending tickers: Micron, Western Digital, and Levi’s Micron (MU) stock rose 10% during premarket hours following the rise seen in fellow chipmakers SK Hynix (000660.KS) and Samsung Electronics (005930.KS), which forecast record quarterly earnings on Tuesday. Western Digital (WDC) stock rose 8% before the bell today. Morgan Stanley recently reiterarted its Overweight rating for Western Digital, which makes hard disks and lifted its price target to $380 from $369. Levi’s (LEVI) stock jumped 10% during premarket hours on Wednesday following the news that it had beat analysts estimates for revenue and earnings and raised its fiscal year guidance. Today at 9:30 AM UTC Shell: Oil trade profit surged as Iran war caused chaos Oil giant Shell (SHEL) announced on Wednesday that its oil trading operation saw a boost in earnings during the first quarter, as the Iran war caused a rise in oil prices due to the blockage of the Strait of Hormuz. Shell’s stock price fell 4% before the bell today following the news of a two-week ceasefire between the US and Iran. Bloomberg News reports: Read more here. Today at 8:56 AM UTC SK Hynix shares jump after peer Samsung projects blowout earnings SK Hynix (000660.KS) shares surged 12% on Wednesday following the news that the chipmaker’s peer, Samsung (005930.KS), had forecast record quarterly earnings, leading investors to expect positive results from SK Hynix, which will release its first quarter earnings on April 29, 2026. Reuters reports: Read more here. Today at 3:56 AM UTC Gold rises as Tump and Iran agree to two-week ceasefire Bloomberg reports: Read more here. Tue, April 7, 2026 at 11:34 PM UTC Oil prices plummet as US and Iran reach ceasefire deal
