[New York Stock Market] All Major Indexes Open Higher on Reports of Progress in U.S.-Iran Negotiations

International Oil Prices Plummet
AMD Surpasses Expectations in Q1 Earnings

As reports emerged that the United States and Iran are negotiating the drafting of a one-page memorandum of understanding (MOU) regarding an end to hostilities, all three major U.S. stock indexes opened higher on May 6 (local time).

According to the home trading system (HTS), as of 9:32 AM on the New York Stock Exchange (NYSE), the Dow Jones Industrial Average stood at 49,723.66, up 425.41 points (0.86%) from the previous trading day. The S&P 500 index, which focuses on large-cap stocks, rose 53.95 points (0.73%) to 7,313.15, while the Nasdaq index, which is centered on technology stocks, jumped 201.49 points (0.80%) to 25,527.875.

On this day, Axios, citing sources, reported that the U.S. and Iran are close to reaching an agreement to resolve the conflict and are negotiating the drafting of a one-page MOU. The MOU is expected to include a temporary halt to uranium enrichment and partial easing of sanctions against Iran.

U.S. President Donald Trump stated on Truth Social, "If Iran does not agree, the bombing will begin, and it will be carried out with much greater intensity than before."

Soon after, the spokesperson for Iran's Ministry of Foreign Affairs officially stated that Iran is reviewing the U.S. proposal. As both sides have come closer to an agreement than at any point since the outbreak of the war, expectations for an end to hostilities have risen significantly, which is seen as having greatly boosted investor sentiment.

Amid growing expectations that the war will soon end, traders reduced their positions, leading to a sharp drop in international oil prices. On the New York Mercantile Exchange, West Texas Intermediate (WTI) crude for June delivery was trading at 96.49, down 5.64% from the previous session. On the ICE Futures Exchange, Brent crude for July delivery was down 5.95% from the previous session, trading at 103.33 dollars.

Corporate earnings announcements also served as a positive catalyst. Semiconductor company AMD exceeded market expectations in both first-quarter revenue and net profit, and after issuing a positive outlook for the second quarter, its stock price surged by more than 16%.

The top stocks by market capitalization showed a mixed trend. Nvidia was up 2.12%, Alphabet rose 1.59%, and Broadcom gained 1.93%. In contrast, Apple fell 0.89%, Microsoft declined 1.04%, Tesla dropped 0.42%, and Meta was down 0.56%.

Lori Calvasina, head of U.S. equity strategy at RBC Capital Markets, told CNBC, "It seems like we are climbing the wall of worry." She added, "You can see that corporate earnings forecasts are continuing to be revised upward due to AI-related trades," and noted, "I don't think the market is overheated right now."

This content was produced with the assistance of AI translation services.