Markets react to paused US-Iran tensions and Fed inflation concerns, with housing data beating estimates amid geopolitical uncertainty.
US stocks closed mixed on Friday, with the Dow rising while the S&P 500 and Nasdaq declined. Investors weighed paused US-Iran military actions against persistent inflation worries, as Fed official Austan Goolsbee emphasized price stability as a priority for incoming leadership.
The NAHB Housing Market Index for May came in at 37, surpassing the 34 estimate. European shares mostly advanced, though caution prevailed amid reports of a potential US sanctions waiver on Iran, later denied by officials. Iran’s latest proposal focused on conflict resolution but omitted nuclear dismantling, drawing sharp criticism from the US.
Silver and gold prices retreated as real yields surged on expectations of further Fed rate hikes. Diplomatic efforts continued, with Trump halting a planned Iran strike at Saudi and UAE request, while Netanyahu stressed unresolved enrichment concerns.