Stocks Hit Fresh Record as Investors Return to Tech

Wall Street reached all-time record highs on Wednesday as investors priced in growing optimism for a peace deal and rotated aggressively back into technology stocks. The S&P 500 closed at 7,022.81, its first record close since January 27, while the Nasdaq Composite hit 24,016.02, eclipsing its previous October peak. The catalyst was twofold: a major rotation into software stocks — which had lagged for months on AI disruption fears — and diplomatic signals that the US and Iran are considering a two-week ceasefire extension to allow more negotiating time, with mediators working on compromises covering the nuclear program, Hormuz, and war compensation. Bank of America and Morgan Stanley completed the bank earnings sweep with record trading results, while the broader sector cut more than 5,000 jobs amid a push into AI efficiency. Oil was essentially flat — Brent at ~$95/barrel (+0.1%), WTI at $91.14 (-0.2%) — and gold fell 1% to $4,794 as risk appetite lifted. The AUD reached its highest close since June 2022, rising 0.7% to US71.8¢. The major ASX-specific risk this morning is an overnight fire at Viva Energy’s Geelong refinery, representing approximately 10% of Australian fuel supply, with jet fuel and diesel production continuing at reduced levels. ASX 200 futures sit near-flat at 9,018 (-3pts).