U.S. markets closed the week on a strongly positive note, driven by signs of geopolitical easing in the Middle East, renewed expectations regarding growth associated with artificial intelligence (AI), and economic data that reinforced the resilience of the U.S. economy. The S&P 500 and the Nasdaq reached new all-time highs, as investors continue to assess the sustainability of the tech rally and the impact that a moderation in energy prices could have on inflation and the Federal Reserve’s monetary policy.

One of the main focuses of attention was on the negotiations between the U.S. and Iran. Various international media outlets reported that both sides had reached a preliminary memorandum of understanding to extend the current ceasefire for 60 days and move forward with talks on Iran’s nuclear program. The agreement would include the normalization of maritime traffic in the Strait of Hormuz and the possibility of discussing a gradual easing of economic sanctions. Although President Trump has not yet formally approved the agreement, the market interpreted the news as a sign of reduced geopolitical risk, leading to a decline in oil prices and sovereign bond yields.