S&P 500 Extends Record Run as Semis Soar, Oil Falls and Strait Traffic Flows

• WTI crude dropped 9% to $93 and Brent fell 8% to $101 after reports the U.S. and Iran are nearing a deal including a nuclear enrichment moratorium
• AMD jumped 20% premarket on Q1 revenue of $10.25 billion and data center AI revenue of $5.78 billion (up 57%), with Q2 guidance of $11.2 billion citing 'accelerating AI infrastructure demand'
• The PHLX Semiconductor Index surged 9.4% over five days, while ADP reported April private payrolls of 109,000 (versus 84,000 expected), signaling continued labor market strength

Market Summary: S&P 500 Hits New Records Amid Easing Iran Tensions

Key Market Movements:

U.S. equity markets rallied broadly with the S&P 500 reaching record highs above 7,323 (+0.65%), while the Dow Jones gained 0.89% to 49,756 and Nasdaq 100 advanced 1.02% to 28,402. The Russell 2000 led gains with a 1.45% increase to 2,882.

Oil Plunge on Geopolitical Developments:

Crude oil tumbled sharply, with WTI falling 9% to $93/barrel and Brent dropping 8% to $101, following reports that the U.S. and Iran are nearing a deal including a moratorium on nuclear enrichment. President Trump paused "Project Freedom" operations in the Strait of Hormuz, citing progress toward a final agreement.

Semiconductor Sector Surges:

The PHLX Semiconductor Index soared 9.4% over five days. AMD jumped 20% in premarket after Q1 revenue hit $10.25 billion with AI-focused data center revenue climbing 57% to $5.78 billion. CEO Lisa Su guided Q2 revenue to $11.2 billion, citing accelerating AI demand. Intel rose 4% on AMD's strong results and reports of potential Apple chipmaking discussions. NVIDIA and Corning announced a major partnership to expand U.S. optical manufacturing for AI infrastructure.

Labor Market Data:

ADP reported private payrolls increased 109,000 in April, exceeding the 84,000 consensus and rebounding from March's 61,000. Healthcare and education led with 61,000 new positions.

Other Notable Developments:

Alphabet gained on reports that Anthropic will spend $200 billion with Google over five years on cloud services. Uber surged despite missing revenue estimates, boosted by stronger-than-expected Q2 bookings guidance.

Market drivers include easing geopolitical tensions, strong AI-related earnings, and robust labor market data supporting the ongoing rally.