Dow jumps 600 points as US-Iran deal hopes, AI rally lift stocks

• AMD hit an all-time high on strong data center chip demand, lifting the PHLX Semiconductor Index 4.5% and pushing its 2026 gains to 62%.
• Oil prices fell sharply—WTI down 6% to above $95 and Brent down 7% to just over $101—as reports emerged of progress toward a US-Iran agreement to end conflict and pause nuclear enrichment.
• The S&P 500 rose 1.46% to a record 7,365.09, with more than 80% of reporting companies beating estimates, positioning the index for its strongest profit growth in over four years.

Market Summary: Dow Surges 600 Points on Geopolitical Relief and AI Momentum

Key Market Movements:

Wall Street posted strong gains Wednesday, with the Dow Jones climbing 612 points (+1.24%), the S&P 500 rising 1.46% to a record 7,365.09, and the Nasdaq leading with a 2.03% advance to an all-time high of 25,838.94.

Primary Catalysts:

*Geopolitical Developments:* Markets rallied on reports of a potential US-Iran nuclear deal, including a proposed moratorium on enrichment. Oil prices fell sharply in response—WTI crude dropped 6% to above $95/barrel and Brent declined 7% to just over $101—easing inflation concerns. President Trump paused "Project Freedom" operations in the Strait of Hormuz but cautioned an agreement wasn't guaranteed.

*Technology & Earnings:* AMD hit an all-time high after beating Q1 estimates and forecasting strong Q2 revenue driven by data center chip demand. The semiconductor rally was broad-based, with the PHLX Semiconductor Index gaining 4.5% (up 62% year-to-date), Intel rising 4.5%, and the VanEck Semiconductor ETF advancing 4%. Nvidia jumped 5.7%, while Super Micro Computer also posted gains on positive guidance.

Earnings Strength:

Over 80% of S&P 500 companies reporting through early May have exceeded expectations, positioning the index for its strongest profit growth in four years.

Market Breadth:

Nine of 11 S&P sectors closed higher, led by industrials (+2.6%) and information technology (+2.56%). Advancing stocks outnumbered decliners 1.7-to-1, with elevated volume of 18.8 billion shares.

Economic Data:

Job openings reached a 15-month high in April, signaling labor market resilience. Investors now await the nonfarm payrolls report expecting approximately 62,000 jobs added.

Implications: The combination of geopolitical de-escalation and AI-driven earnings momentum supports continued