[New York Stock Exchange] S&P 500, Nasdaq Hit Record Highs... Gains Limited by Negotiation Deadlock

Despite the ongoing deadlock in ceasefire negotiations between the United States and Iran, expectations for earnings announcements from big tech companies drove the S&P 500 and Nasdaq indexes to record highs on April 27 (local time).

On the 27th (local time), traders were working at the New York Stock Exchange (NYSE) in New York City, USA. Photo by Reuters Yonhap News

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At the New York Stock Exchange (NYSE), the Dow Jones Industrial Average closed at 49,167.79, down 62.92 points (0.13%) from the previous trading day. The S&P 500, which is focused on large-cap stocks, rose by 8.83 points (0.12%) to close at 7,173.91, while the tech-heavy Nasdaq increased by 50.502 points (0.20%) to finish at 24,887.10.

On this day, the New York stock market saw the S&P 500 reach an all-time high despite the difficulties in the US-Iran negotiations. However, the gains were limited as international oil prices climbed.

According to a report by Axios the previous day, Iran proposed to the United States to reopen the Strait of Hormuz and declare a ceasefire, but suggested postponing negotiations on curbing Iran's nuclear capabilities. In response, the White House stated that a 'ban on nuclear weapons' is a non-negotiable red line, effectively rejecting the proposal.

New York Stock Exchange. New York, USA - Special Correspondent Yoonju Hwang

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As the two sides failed to narrow their differences, international oil prices ended the day higher. On the ICE Futures Exchange, Brent crude for June delivery closed at $108.23 per barrel, up 2.8% from the previous session. On the New York Mercantile Exchange, West Texas Intermediate (WTI) crude for June delivery finished at $96.37 per barrel, up 2.1% from the previous session.

Gabriel Shahin of Falcon Wealth commented, "Investors have started to look beyond the effects of war and focus on the market," but added, "Oil prices remain a very important variable." He went on to say, "Stability can only be achieved when the Strait of Hormuz is more securely controlled."

The market appears to be focusing more on the upcoming big tech earnings announcements this week than on the Iran war. Microsoft, Alphabet, Amazon, and Meta are scheduled to release their quarterly results on the 29th, while Apple will announce its earnings on the 30th. Shahin predicted, "Depending on the results of this week's quarterly earnings releases, the next seven days could be a relatively calm period."

Meanwhile, major large-cap stocks ended the session mixed. Nvidia rose by 3.99%, Alphabet by 1.75%, Meta by 0.32%, and Tesla by 0.37%. In contrast, Apple fell by 1.33%, Microsoft by 0.15%, Amazon by 1.15%, and Broadcom by 1.19%.

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