Diplomatic efforts ease Middle East tensions, lifting risk assets and weighing on US yields after Friday’s sharp selloff.
Israel halted preparations for new strikes on Iran following discussions between Prime Minister Netanyahu and President Trump, who indicated both sides seek an immediate cease-fire. A blockade remains in effect until a final deal is reached, according to statements from US officials.
Markets rebounded sharply after Friday’s steep declines, with the NASDAQ surging 536 points, erasing part of its -1,121-point drop. US Treasury yields fell, with the two-year note down -2.1 basis points and the 10-year down -0.6 basis points.
Chip stocks led gains, with Intel shares rising 10% to $109 after tumbling -13.52% last week. AMD and Micron also advanced, up 4.27% and 8.4%, respectively, recovering from prior weekly losses.