Dow jumps 200 points, oil prices dip after Trump signals Iran exit in a few weeks
US Stocks Rise on News of US Exit from Iran
US stocks surged on Wednesday morning following President Trump’s announcement that the US will be exiting Iran in the coming weeks. This news extended gains from the previous day as investors anticipated a de-escalation in the Middle East that could stabilize oil prices quickly.
The Dow Jones Industrial Average saw a 203-point increase, or 0.4%, by 9:45 a.m. ET, while the S&P 500 and Nasdaq also rose by 0.5% and 0.8%, respectively. Trump’s statement in the Oval Office on Tuesday evening about the US exiting Iran within two to three weeks had a positive impact on the market.
Brent crude oil prices dropped by 2.1% to $101.74 a barrel, and West Texas Intermediate fell by 1.2% to $100.15.
Trump emphasized that Operation Epic Fury would continue until Iran is significantly weakened, but he stated that a deal with Iran to reopen the Strait of Hormuz is not a priority for the US.
He also declared that the US has achieved its goal of preventing Iran from obtaining nuclear weapons, shifting the responsibility of the strait’s reopening to other countries that are more reliant on the oil passing through it.
In a phone interview with The Post, Trump remarked, “We’re not going to be there too much longer. We’re obliterating the s–t out of them right now.”
Additionally, data released by ADP showed a growth of 62,000 private-sector payrolls in March, indicating potential stabilization in the labor market after recent fluctuations.
The official government jobs report is scheduled for release on Friday morning.
Last week, both the Dow and Nasdaq experienced a 10% decrease from their all-time highs, entering correction territory. The month and quarter concluded with the indexes in negative territory, but Tuesday saw the Dow and Nasdaq’s best trading session since May of last year.
