New York, June 15, 2026, 11:04 (EDT)
- The Dow, S&P 500 and Nasdaq were all up sharply late in the morning, with the Nasdaq out in front.
- Airline and cruise stocks got a boost from lower oil prices. Energy shares fell.
- The Federal Reserve’s policy meeting on June 16–17 is the next key test.
Stocks jumped Monday, with investors turning to risk as a first-step U.S.-Iran deal took some pressure off Middle East oil worries. According to LSEG-delayed figures on Reuters, the Dow Jones Industrial Average added 648.99 points, or 1.27%, to 51,851.25. The S&P 500 was up 1.50% at 7,543.05, and the Nasdaq Composite ran ahead 2.35% to 26,496.47. Reuters said the Dow hit an intraday peak as gains spread out from tech shares. Reuters
Stocks climbed after oil tumbled, easing some pressure on inflation and on company costs. Brent crude dropped 5.45% to $82.57, according to Reuters data. Reuters also reported oil was down around 5% after the U.S. and Iran agreed to a framework deal that could end their war and reopen the Strait of Hormuz. United Airlines rose 6.4%, Delta gained 4.1%, American Airlines added 5.2%, while Norwegian Cruise and Carnival were both up 5.2%. Oil producers slumped. Exxon Mobil and Chevron each fell about 5% as crude prices dropped. Reuters
Technology kept the rally going as Micron jumped 9% on higher broker price targets. Nvidia, Intel and Marvell gained too. The Philadelphia Semiconductor Index was up 4.8%, Reuters reported. Chip stocks carry a lot of weight in the Nasdaq and S&P 500, so big moves in semis often move both indexes, even if other sectors lag. “This is a much better environment for equities going forward,” Robert Pavlik, senior portfolio manager at Dakota Wealth, told Reuters. Reuters
Next up for the rally is the Federal Reserve. The Fed’s policy group meets June 16–17, with updated economic outlooks due. Reuters said most investors are betting rates stay at 3.50%–3.75%. Markets are watching to see if Chair Kevin Warsh points to cheaper oil as a reason to pause more hikes, or if stubborn inflation keeps a hike in play. Stocks often slip when higher rates look likely since future profits get discounted more; when rate fears fade, shares often bounce. Federal Reserve
The bull view is that cheaper oil, strong AI demand, and rising earnings estimates could keep pushing stocks higher. FactSet’s latest Earnings Insight report now sees Q2 S&P 500 earnings growth at 21.9%, with 2026 earnings growth at 23.2%. On the bear side, valuation and event risk matter: FactSet said the S&P 500’s forward 12-month PE ratio was 20.1, above both five- and 10-year averages. That leaves the market looking fairly valued, not cheap. Stock picking in parts of the market helped by lower fuel prices or rising estimates still looks good, but chasing the whole index after record highs is risky if a Iran deal fails, oil snaps back, or the Fed turns more hawkish than investors expect. FactSet
