Stock markets: Wall Street closes sharply higher; Nasdaq up 3.07%. SpaceX soars

Wall Street closes higher following the agreement between Iran and the United States. The Dow Jones rises by 0.92% to 51,671.83 points, the Nasdaq gains 3.07% to 26,683.94 points, whilst the S&P 500 gains 1.66% to 7,554.54 points. SpaceX ends the session up 20%, increasing its market capitalisation – according to Bloomberg – by $412 billion.

The ceasefire agreement between the United States and Iran is also bolstering European stock markets, which reached new highs during the day, and is pushing down the price of oil. The FTSE MIB in Milan, in particular, has surpassed the 52,000-point mark for the first time, ahead of the official signing of the agreement, scheduled for Friday in Geneva.

The parties will then hold in-depth negotiations over the next sixty days to reach a final peace agreement. By the end of the day, however, continental stock markets slowed their pace, as investors opted to take some profits from recent gains, concerned by US President Donald Trump’s new threats regarding tariffs and by lingering doubts, in particular, over the full reopening of the Strait of Hormuz without transit fees. “We expect the strait to be open without tolls in the long term, and this is one of the issues we will address in the technical negotiations,” emphasised US Vice-President Jd Vance. These are all issues that are bound to feature on the agenda at the G7 summit, which is currently getting underway in Evian, France. “I asked him not to tax American companies, and if they do, I will have no choice but to impose a 100% tariff on all champagne and all wines from France,” Trump stressed, referring to French President Emmanuel Macron and the tax on US big tech firms.

The market’s attention is also focused on the central bank meetings scheduled for the coming days, and in particular on Kevin Warsh’s debut as head of the Federal Reserve. Economists expect US interest rates to remain unchanged, but will be listening closely to the new chairman’s remarks for any clues as to the future direction of monetary policy. The Bank of Japan’s Policy Board is also due to meet tomorrow, and is expected to raise rates by 25 basis points. On Thursday, it will be the Bank of England’s turn, with no changes to monetary policy expected.

Among the leading stocks on the Milan stock exchange, the sharp rises in Stellantis and Ferrari, also buoyed by Hamilton's triumph yesterday at the Barcelona Grand Prix. Buzzi and Prysmian. Banking stocks performed strongly overall, particularly those of Bper Banca and Banco Bpm. Positive but less volatile Unicredit, which this morning responded to Commerzbank’s insinuations regarding alleged manipulation in connection with the public offer. The bank announced that it had brought these matters to the attention of the German BaFin, requesting ‘appropriate checks’ on Commerzbank’s statements. The luxury sector is also performing well, buoyed by positive signs of openness in the Middle East: Brunello Cucinelli. Reaching new highs Generali, with Berenberg raising its target price to €71. Energy stocks are struggling in the wake of the downward trend in oil and gas prices, with Eni, Tenaris and Italgas. Also down: Avio is also performing poorly.