Wall Street indices opened higher following the ceasefire between Israel and Iran, but traders are wary of potential violations.
Indices Open Higher
On Tuesday, June 24, Wall Street saw a positive opening. The Dow Jones opened 280 points higher, or 0.6%, while the S&P 500 gained 0.7%, and the Nasdaq increased by 1%. The uptick followed President Donald Trump's announcement that Israel and Iran had agreed to a ceasefire, ending what he described as a '12-day war,' boosting market sentiment, including for cryptocurrencies.
Crisis Continues
Despite the positive start, concerns remain about potential violations from Iran that could escalate the conflict further. Israel has accused Tehran of breaching ceasefire terms and vowed a strong response. President Trump urged Israel to refrain from military action: 'ISRAEL. DO NOT DROP THOSE BOMBS. IF YOU DO IT IS A MAJOR VIOLATION...'
Macroeconomic Outlook
Investors are also closely watching macroeconomic indicators, particularly tariff negotiation deadlines and potential shifts in interest rates. Key moments this week include Federal Reserve Chairman Jerome Powell’s testimony before the Senate Banking Committee, as his comments are expected to provide insights into future monetary policy direction.
While the markets welcome ceasefire signals, investor caution may be justified given the potential for further developments in the Middle East situation and macroeconomic changes.
