Wall Street erased the previous day's decline after Donald Trump announced an indefinite extension of the truce with Iran, reversing his threats of imminent escalation from the day before. The market interpreted this as a signal of de-escalation, although relief remains tempered. Tehran continued to blow hot and cold, alternating between the seizure of commercial vessels and firm declarations regarding the impossibility of fully reopening the Strait of Hormuz under current conditions. Meanwhile, the Washington Post reports that complete demining of the area could take several months.

The rebound, however, was broad-based. While indices were driven by technology, the Russell 2000 and the equal-weighted S&P 500 also moved higher, indicating that the rally was not limited solely to the mega-caps.

On the corporate front, GE Vernova soared nearly 13%, posting the best performance in the S&P 500, after beating Q1 expectations and raising its annual guidance, fueled by demand related to data centers and power needs.
Boeing, meanwhile, rose about 5%, after reporting a loss and cash burn that were better than expected, while posting its highest level of Q1 deliveries since 2019.

The session was also marked by a sharp decline in Fair Isaac, which tumbled about 8%, the largest drop in the S&P 500. The market reacted poorly to the decision by Fannie Mae and Freddie Mac to also accept VantageScore 4.0, followed by FICO 10T, for mortgage lending, which challenges the group's historical dominance in this market.

Investors were then focused on results released after the bell, headlined by IBM and especially Tesla, the first major test of the week for the tech giants.