Dow Hits Record 51,684 on Iran-Deal Hopes, SpaceX Rally

The Dow Jones Industrial Average closed at a record 51,684.88 on Monday after hopes for a preliminary U.S.-Iran agreement and a strong SpaceX rally pushed U.S. stocks higher. The S&P 500 rose to 7,555.26 and the Nasdaq Composite jumped to 26,686.64, with gains across technology, energy-sensitive travel names and semiconductors.

President Donald Trump announced the U.S.-Iran agreement was “now complete.” Pakistani Prime Minister Shehbaz Sharif indicated the memorandum of understanding is expected to be formally signed in Switzerland on Friday, and a senior U.S. administration official said the agreement “has already been signed electronically.” The framework is aimed at ending direct hostilities between the two countries and reopening the Strait of Hormuz for commercial shipping. The arrangement does not resolve Iran’s nuclear program or the conflict involving Israel and Hezbollah in Lebanon.

The Dow gained 490.38 points, or 0.96%. The S&P 500 rose 1.67% and the Nasdaq Composite climbed 3.07%, its largest one-day percentage gain since March 31. The three major indexes recorded a third consecutive session of advances following a recent pullback tied to Middle East tensions and weakness in artificial-intelligence–related stocks.

U.S. crude futures settled down 4.9% at $80.75 per barrel, their lowest close since March, on reports the agreement could allow renewed crude flows from the region. Oil moved sharply lower on Monday.

SpaceX shares climbed more than 19% on Monday, roughly matching their first-day gain after the company’s recent Nasdaq debut. The company entered public markets with a valuation above $2 trillion.

Technology stocks led sector gains. The Philadelphia Semiconductor Index moved higher, helped by advances in Nvidia and Micron Technology. Micron rose after several brokerages raised their price targets. Lower fuel costs supported gains in travel-related stocks, with United Airlines, Norwegian Cruise Line and Carnival among the advancers.

Market participants continued to focus on the Federal Reserve’s policy meeting this week, the first under Chair Kevin Warsh. Traders widely expect policymakers to hold interest rates steady. CME Group’s FedWatch tool showed roughly a 42% probability of a 25-basis-point increase by year-end. The CBOE Volatility Index fell for a third straight session, reflecting a decline in short-term market uncertainty.