US stocks traded near record levels on Tuesday, June 16, 2026, with the Dow Jones Industrial Average touching an intraday all-time high as falling oil prices and optimism over a US-Iran peace deal lifted investor sentiment. The Dow rose 360.77 points, or 0.70%, to 52,031.80 in morning trading, setting a fresh intraday record. The S&P 500 gained 7.49 points, or 0.10%, to 7,561.78, while the Nasdaq Composite added 35.07 points, or 0.13%, to 26,719.01, according to the Times of India Business Desk. However, AP reported that markets later turned mixed, with the S&P 500 slipping 0.2% and the Nasdaq falling 0.4%, while the Dow remained higher by about 292 points.
Oil Prices Slide on US-Iran Optimism
Investor confidence was supported by another decline in crude prices following a tentative agreement between the United States and Iran aimed at reopening the Strait of Hormuz, one of the world's most critical energy shipping routes. Brent crude fell 3.6% to around $80.20 a barrel after briefly dropping below $80 for the first time since early March. The energy sector slipped 0.4% as oil prices hit nearly a three-month low. While the agreement has boosted market sentiment, uncertainty remains over key issues, including Iran's nuclear programme and the timeline for restoring full shipping operations through the strait.
SpaceX Extends Rally, Becomes Fifth-Most Valuable US Company
SpaceX remained in focus after its blockbuster stock market debut. Shares rose between 7% and 9.5% on Tuesday, lifting the company's market value above Amazon and making it the fifth-most valuable US-listed company, according to the report. SpaceX also announced plans to acquire software firm Anysphere for $60 billion as it seeks to expand its presence in the enterprise artificial intelligence market.
Banks, Chip Stocks Gain
Financial stocks led gains on Wall Street, with the S&P financial index rising 1.1%. Goldman Sachs gained 1.3%, while JPMorgan Chase and Bank of America rose 1.8% and 1.2%, respectively. Memory-chip makers also advanced, with Western Digital jumping 9% and Seagate Technology gaining 6%. Qualcomm rose 3.6% after a report said it was in talks to acquire AI chip startup Tenstorrent for between $8 billion and $10 billion.
| Index | Change | Level |
|---|---|---|
| Dow Jones Industrial Average | +360.77 pts (+0.70%) | 52,031.80 (intraday high) |
| S&P 500 | +7.49 pts (+0.10%) | 7,561.78 |
| Nasdaq Composite | +35.07 pts (+0.13%) | 26,719.01 |
Fed Decision in Focus
Investors are now awaiting the US Federal Reserve's policy decision on Wednesday, the first under new Fed Chair Kevin Warsh. As per Reuters, the central bank is widely expected to keep interest rates unchanged at 3.50-3.75%. Traders currently see a 42% chance of a 25-basis-point rate hike in December, according to CME Group's FedWatch tool. "All eyes are on Warsh's press conference, guidance and expectations for the market," Thomas Hayes, chairman at Great Hill Capital, told Reuters. Meanwhile, Treasury yields edged lower, with the 10-year Treasury yield easing to 4.45% from 4.47% late Monday. Market breadth remained positive, with advancing stocks outnumbering decliners by more than two-to-one on the New York Stock Exchange.
The combination of easing oil prices, strong corporate news from SpaceX and the tech sector, and cautious optimism around the Fed's stance provided a supportive backdrop for equities. Investors will closely watch Wednesday's Fed decision and commentary for further direction.
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