Stocks climb, yields dip as investors focus on US-Iran talks

By Caroline Valetkevitch and Stefano Rebaudo

NEW YORK/MILAN, May 22 (Reuters) - Major banal indexes roseate and Treasury yields eased connected Friday arsenic investors weighed the likelihood of a near-term woody to extremity the U.S. and Israeli warfare connected Iran.

Oil prices gained arsenic overmuch ‌uncertainty surrounding the Iran talks remained.

U.S. Secretary of State Marco Rubio said that the United States has seen immoderate advancement towards a ‌deal with Iran but much enactment is required. Diplomatic efforts intensified to find an extremity to a struggle that began successful precocious February.

Iran's overseas curate met Pakistan's interior curate connected Friday ​to sermon proposals to extremity the U.S.-Israeli war, Iranian media reported.

On Wall Street, the Dow deed a grounds precocious for the archetypal clip since the Iran warfare began, and the S&P 500 was connected way for its eighth consecutive play gain. Stocks person been driven higher by booming request for AI-related stocks adjacent arsenic concerns astir economical fallout from the warfare remained.

While gaps person been narrowed betwixt Iran and the United States, determination are inactive sticking points implicit Iran's ‌enriched uranium and power implicit the Strait of Hormuz.

Investors ⁠are disquieted that ongoing vigor disruptions volition filter done to halfway user prices, perchance forcing a tighter monetary argumentation response.

"There's a batch of waiting connected geopolitical issues. That is keeping immoderate radical connected the sidelines, but wide the marketplace ⁠believes it's each going to beryllium resolved eventually," said Tim Ghriskey, elder portfolio strategist astatine Ingalls & Snyder successful New York.

"Toward the extremity of the day, you mightiness spot immoderate selling pressure" up of the agelong U.S. weekend, helium said. U.S. banal and enslaved markets volition beryllium closed Monday successful observance of Memorial Day.

The Dow Jones Industrial ​Average ​rose 369.12 points, oregon 0.73%, to 50,654.78, the S&P 500 roseate 43.59 points, oregon ​0.58%, to 7,489.09 and the Nasdaq Composite roseate 164.55 points, ‌or 0.63%, to 26,457.65.

MSCI's gauge of stocks crossed the globe roseate 7.21 points, oregon 0.65%, to 1,114.10. The pan-European STOXX 600 scale roseate 0.8%.

The output connected the benchmark 10-year Treasury enactment was past down 3.4 ground points (bps) astatine 4.552%. A selloff aboriginal successful the week led yields to deed months- oregon years-long highs, with the 10-year output connected Tuesday reaching its highest level since January 2025.

Turkey's fiscal markets rebounded aft being rattled this week by governmental moves against the country's main absorption party. The benchmark BIST 100 scale roseate 4.5% successful Istanbul, recovering from a 6% plunge connected Thursday that had triggered ‌a suspension of trading aft a apical tribunal moved to efficaciously oust main absorption ​leader Ozgur Ozel.