Traders work at the New York Stock Exchange on May 7, 2026.
NYSE
The S&P 500 fell on Thursday after hitting a new all-time intraday high as oil prices came back from sizable losses earlier in the session, with traders eyeing more developments between the U.S. and Iran.
The broad market index was last down 0.3%, while the Nasdaq Composite hovered around the flatline. The tech-heavy index had also scored a fresh all-time high during the session. The Dow Jones Industrial Average shed 260 points, or 0.5%.
Oil prices bounced back after trading meaningfully below $100. U.S. West Texas Intermediate crude futures was last marginally higher to trade above $95 per barrel, while international Brent crude futures slipped slightly to above $100 a barrel.
Stocks posted strong gains in the previous session, with the S&P 500 and Nasdaq posting record highs. The Dow also popped more than 600 points.
On Wednesday, stocks moved higher and oil prices cooled after Axios reported, citing sources, that the U.S. and Iran are nearing a deal to end the war. Specifically, two U.S. officials and two other sources briefed on the issue told the outlet that the White House believes it is nearing a one-page, 14-point memorandum of understanding to not only end the war but also establish a framework for more detailed nuclear talks.
An Iranian foreign ministry spokesperson said to CNBC on Wednesday that Iran was evaluating a U.S. proposal for a resolution.
Outside of these hopes for easing Middle East tensions, a “blowout” earnings season has also boosted stocks, along with “just an insatiable demand and momentum behind the AI trade,” according to Ross Mayfield, Baird investment strategist.
“We pretty quickly shifted from, ‘Everyone is bearish,’ to, ‘Boy oh boy, everyone is bullish again,'” he said. “The market is probably overbought here heading into a weaker seasonal period, but those are minor nitpicks rather than true bumps in the road. You kind of are set up for a melt-up scenario here, barring something out of left field.”
Fortinet was among the key winners of the day on Thursday, popping 22% after the company lifted its full-year billings guidance. Meanwhile, Peloton shares jumped 5% after its third-quarter revenue surpassed expectations.
