Stock market today: Live updates

U.S. equities gained on Thursday, boosted by a rebound in chip stocks after recent pressure, after President Donald Trump said that he has called off the strikes on Iran scheduled for this evening.

The S&P 500 gained 1.7%, while the Nasdaq Composite added 2.2%. The Dow Jones Industrial Average rose 901 points, or 1.8%.

“Based on the fact that discussions with the Islamic Republic of Iran have been brought to the highest level of Iranian leadership and approved, I have, as President of the United States of America, cancelled the scheduled strikes and bombings against Iran this evening,” the president wrote in a Truth Social post.

“Discussions and final points have been, in both concept and great detail, approved by all parties involved, including the United States, Israel, Saudi Arabia, UAE, Qatar, Turkey, Pakistan, Bahrain, Kuwait, Jordan, Egypt, and others. The Naval Blockade will remain in full force and effect until this Transaction is finalized — Time and place of the signing to be announced shortly,” he continued.

West Texas Intermediate crude futures were trading down 3% at around $86 a barrel after Trump’s announcement. Brent crude futures also fell 3% to around $89 a barrel.

Markets were on edge earlier in the day as oil prices rose after Trump said in another Truth Social post that the U.S. will be attacking Iran “VERY HARD TONIGHT.” He also said, “At some point in the not too distant future, we will be taking Kharg Island, and other oil infrastructure points, and assume total control of their Oil and Gas Markets.”

“Markets don’t seem to be fazed” by the Middle East conflict, said Thomas Martin, senior portfolio manager at Globalt Investments. “[The] inflation reports that we’ve gotten don’t show that the higher price of oil is really pushing through to other areas, so the underpinnings of the economy are still fairly strong. That’s all kind of status quo-ish for the markets.”

The producer price index increased 1.1% in May, the Bureau of Labor Statistics reported Thursday. That’s more than the 0.7% that economists polled by Dow Jones expected. Core inflation — which excludes volatile food and energy prices — stood at 0.4%, below the Dow Jones forecast for 0.5%.

A rebound in Micron Technology, Advanced Micro Devices and Intel offered momentum to the market. The iShares Semiconductor ETF gained 6%. The chip ETF was under pressure again this week following a 10% drubbing on Friday that’s called many investors to question whether the parabolic move in the sector was over. Intel was upgraded by Bank of America from underperform to buy on Thursday and the shares responded with a 7% gain.

Enthusiasm is building ahead of SpaceX’s debut on Friday, which could highlight the expected growth in the AI buildout. Although some traders believe the recent chip weakness is due to investors selling the stocks in their portfolios to make room for the IPO, which will be the largest debut ever at a roughly $1.8 trillion valuation.

Still, not all of tech was a bright spot Thursday. Shares of Oracle dropped 11% as the software giant announced plans to raise an additional $20 billion in equity and debt to pay for its artificial intelligence buildout.

Stocks fell during the previous session, thanks to another rout in the chip sector and a ramp-up in tensions with Iran.