🔥U.S. stocks are approaching recouping the declines since the Iran war, while crude oil remains high due to the Strait of Hormuz risk

According to CNBC, the U.S. stock market is nearing recovery from the declines triggered by the Iran war, as investors bet that the geopolitical shock will be short-lived. The two-week ceasefire announced Tuesday night has driven a market rebound, helping the indices recover more than two-thirds of the losses since the conflict erupted in late February. The S&P 500 index is currently less than 1% below pre-war levels (6,878.88 points). Barclays strategists said that the stock market's expectations for a positive outcome are clearly higher than those for crude oil, and that this round of rebound is partly driven by strong short covering. Barclays and Citigroup strategists pointed out that investor confidence in Trump seeking an exit route to avoid greater economic losses is increasing, and the ceasefire has changed market sentiment, suggesting the rebound could still continue. More…