Stocks top all-time high as companies report strong Q1 profits despite Strait of Hormuz tensions; Brent crude climbs 3.5% to $101.91 on supply fears.
The U.S. stock market rallied to more records Wednesday after GE Vernova Boston Scientific and other big companies joined the parade reporting fatter profits for the start of the year than analysts expected.
The S&P 500 jumped 1% and t opped its prior all-time high set on Friday. The Dow Jones Industrial Average added 340 points (0.7%) and the Nasdaq composite set its own record after jumping 1.6%.
The price for a barrel of Brent crude oil the international standard climbed 3.5% to $101.91 on uncertainty about when the war with Iran could let up and allow petroleum to flow freely to customers from the Persian Gulf again.
The war has restricted traffic through the Strait of Hormuz, where Iran fired on three ships and seized two on Wednesday. U.S. President Donald Trump extended a ceasefire but maintained a blockade of Iranian ports, halting oil exports and raising doubts about resuming talks. Brent crude surged from $70 per barrel pre-war to over $119 amid supply fears, though recent market swings have moderated. Best Buy shares fell 4.6% after CEO Corie Barry's departure, while cannabis stocks rose on reports of Trump administration plans to reclassify marijuana as less dangerous.
The vast majority of companies in the S&P 500 have so far been delivering results for the start of 2026 that have topped analysts expectations even with the war in Iran driving up oil prices and uncertainty for the global economy.
GE Vernova flew 13.7% higher after the company whose products help generate about a quarter of the worlds electricity reported profit for the first three months of the year that blew past analysts expectations. Boston Scientific rallied 9% Boeing climbed 5.5% and Philip Morris International rose 7% after all likewise delivered results for the latest quarter that were stronger than analysts expected. Tilray Brands jumped 14.2% and Canopy Growth soared 20.2%.
In stock markets abroad indexes fell in Europe following a mixed finish in Asia. Japans Nikkei 225 rose 0.4% while Hong Kongs Hang Seng sank 1.2%.
In the bond market Treasury yields held relatively steady despite the gain in oil prices. The yield on the 10-year Treasury remained at 4.30% where it was late Thursday.