Stocks Surge as US-Iran Deal Nears Amid AI Trading Boom

Stocks soared and oil prices dipped on Wednesday after reports emerged suggesting that the United States and Iran might be nearing an agreement to end the Gulf conflict. The development saw Brent crude fall below $100 per barrel for the first time in two weeks, with Brent trading at $102.1, marking a 7% drop for the day.

On Wall Street, buoyed by strong U.S. corporate profits, major indices reached unprecedented highs. The Dow Jones Industrial Average gained 1.3%, while the S&P 500 and Nasdaq Composite rose by 1.2% and 1.4%, respectively. European markets followed suit, with the STOXX 600 index advancing 2.2%, building on their previous gains.

Adding to the market optimism, AI-driven trading saw a rally, particularly for tech companies like Advanced Micro Devices and Intel. Meanwhile, the U.S. dollar weakened by 0.3% as the yen surged, and bond yields fell amid decreased expectations of future rate hikes, reflecting hopes for an impending deal.

(With inputs from agencies.)