Stocks Supported by Slumping Crude Prices and Lower Bond Yields

The S&P 500, Dow Jones and Nasdaq 100 indices are all trading higher today, with gains driven by falling crude oil prices and lower bond yields. WTI crude oil is down more than 3% as news emerged that the US would reinstate diplomats in Middle East embassies, alleviating fears of an escalation in the Iran conflict. The 10-year Treasury yield has also fallen, from 4.65% to 4.65%, as bond yields typically move inversely to bond prices.

IBM recently achieved a new milestone in quantum computing, and the company's stock is benefiting from the positive sentiment. While U.S. economic data has been mixed, with a decline in new home sales and consumer confidence, the broader market appears to be discounting strong earnings growth ahead, particularly for AI infrastructure companies.