U.S. President Donald Trump extended the cease-fire with Iran just before it expired, and the three major New York stock indexes ended higher.
On the 22nd (U.S. Eastern time) at the New York Stock Exchange (NYSE), the Dow Jones Industrial Average rose 340.65 points, or 0.69%, to close at 49,490.03. The Standard & Poor's (S&P) 500 rose 73.89 points, or 1.05%, to 7,137.90, and the Nasdaq composite jumped 397.60 points, or 1.64%, to 24,657.57. In particular, the S&P 500 and Nasdaq closed at a record high.
After the close the previous day, President Trump said the cease-fire would be extended until Iran presented a unified proposal. Reports later said the extension would last only about three to five days rather than indefinitely, but investor sentiment recovered in the afternoon after the White House formalized that no deadline had been set. Iran seized three ships in the Strait of Hormuz in retaliation for the U.S. Navy's blockade, but the move had little effect on sentiment.
Tech shares surged as corporations reported strong results. Tesla said in its earnings release that first-quarter operating income under generally accepted accounting principles (GAAP) came to $900 million (about 1.3 trillion won). That was up 136% from a year earlier. Revenue rose 16% on-year to $22.39 billion, and net income was $477 million, slightly beating market expectations. On the news, Tesla shares rose more than 2% in after-hours trading.