Wall St rises, Dow hits record high with U.S.-Iran talks in focus

By Shashwat Chauhan and Medha Singh

May 22 (Reuters) - Wall Street's main indexes roseate connected Friday, with the blue-chip Dow hitting a grounds precocious for the archetypal clip since the Iran warfare began, arsenic investors tracked advancement successful talks to extremity the ‌nearly three-month-old struggle up of the agelong weekend.

Iran's overseas curate met the interior curate of Pakistan to sermon proposals to extremity the ‌conflict, media reports said, with Tehran and Washington inactive astatine likelihood implicit Iran's uranium stockpile and power implicit the Strait of Hormuz.

Global stocks person whipsawed since the struggle began successful ​late February, but hopes of an eventual solution to the war, optimism successful the AI commercialized and resilient net maturation person propelled U.S. stocks to grounds highs this month.

"While cardinal differences betwixt the U.S. and Iran inactive request to beryllium resolved to extremity the war, the continuation of bid talks remains a supportive origin for investors," said Peter Cardillo, main marketplace economist astatine Spartan Capital Securities.

UBS Global Wealth Management raised its 2026 year-end people for the S&P 500 ‌to 7,900 from 7,500, citing resilient user spending ⁠and seemingly insatiable request for information halfway infrastructure.

The marketplace recovery, however, has faced immoderate hurdles arsenic investors fret astir the inflationary interaction of surging lipid prices, pushing authorities enslaved yields higher astir the satellite and hitting hazard appetite this ⁠week.

Treasury yields slipped connected Friday with the 10-year U.S. enactment output easing to a one-week debased of 4.54%.

Later successful the day, Kevin Warsh volition beryllium sworn successful arsenic Federal Reserve person astatine the White House, taking implicit the reins from Jerome Powell, a pivotal infinitesimal for monetary argumentation and the American economy.

Volatility eased up ​of ​the three-day marketplace holiday, with U.S. markets unopen connected Monday for Memorial Day. The ​CBOE volatility scale hovered adjacent a two-week debased astatine ‌16.64.

At 09:42 a.m. ET, the Dow Jones Industrial Average roseate 315.07 points, oregon 0.63%, to 50,600.73, the S&P 500 gained 48.51 points, oregon 0.65%, to 7,494.23 and the Nasdaq Composite gained 175.63 points, oregon 0.67%, to 26,468.72.

Ten retired of the 11 large S&P 500 assemblage indexes were higher, led by healthcare.

The price-weighted Dow notched its archetypal intraday grounds precocious since February 10, becoming the past of the 3 main U.S. banal indexes to deed the milestone. A adjacent 3% summation successful IBM and a 3.4% emergence successful Salesforce were among the biggest boosts to the index.

The S&P 500 is connected ‌track for an eighth consecutive play gain, which would people its champion winning streak ​since December 2023.