Stocks and Oil Whipsaw on Mixed US-Iran Signals: Markets Wrap

Wall Street saw a volatile session, with stocks and oil whipsawing as traders parsed mixed signals about prospects for a US-Iran deal to end the war and revive energy flows through the key Strait of Hormuz.

The S&P 500 almost erased its drop after President Donald Trump said he called off plans to attack Iran on Tuesday because “serious negotiations are now taking place” on reaching an agreement. A rally in oil eased after the settlement. While bond moves were subdued compared with the rout that swept markets Friday, global yields hovered near multi-year highs as still elevated energy prices stoked inflation worries.