Stock Market Update

[BRIEFING.COM] The stock market is extending yesterday's gains meaningfully, as retreating oil prices, mega-cap leadership, and better-than-feared economic data continue to improve risk sentiment. The S&P 500 (+1.0%), Nasdaq Composite (+1.6%), and DJIA (+0.6%) are charting session highs as a result. After yesterday's strength saw the S&P 500 recover all its remaining losses since the start of the war in Iran, the index now sits just 0.7% below its all-time high (7,002.28) from January 28. The small-cap Russell 2000 (+1.3%) looks to outperform again today amid the risk-on tone, while the S&P Mid Cap 400 (+0.6%) holds a more modest gain.

Optimism remains high that the U.S. and Iran could soon agree on a more lasting ceasefire, with President Trump telling The New York Post that in-person talks could occur in Pakistan over the next two days. Crude oil is currently down $6.66 (-6.7%) to $92.42 per barrel, providing a supportive backdrop for a market that looks to shake off the recent surge in oil prices.

This morning's release of the March PPI report added further support to that narrative, with both the headline (0.5%; Briefing.com consensus 1.2%) and core (0.1%; Briefing.com consensus 0.4%) readings coming in cooler-than-expected.

Stocks opened to mixed strength this morning, but similar to yesterday's action, gains quickly broadened. The communication services sector (+3.1%) holds the widest gain, supported by strong leadership from Meta Platforms (META 662.30, +27.77, +4.38%) and Alphabet (GOOG 330.18, +10.96, +3.44%). Mega-caps are reasserting their leadership again today, with the Vanguard Mega Cap Growth ETF up 1.9%.

Amazon (AMZN 250.02, +10.13, +4.22%) and Tesla (TSLA 365.48, +13.07, +3.71%) give the consumer discretionary sector (+2.7%) a similar boost, while NVIDIA (NVDA 194.58, +5.27, +2.78%) and Microsoft (MSFT 394.60, +10.22, +2.66%) add support to the information technology sector (+1.3%).

The market-weighted S&P 500 (+1.0%) outperforms the S&P 500 Equal Weighted Index (+0.4%) as a result.

Elsewhere, the health care sector (+0.8%) holds a nice gain as biotechnology names outperform, while the financials sector (+0.2%) trades modestly higher amid mixed reactions to this morning's earnings reports.

Citigroup (C 130.14, +3.86, +3.06%) trades higher after topping estimates and issuing upside Net Interest Income guidance, while JPMorgan Chase (JPM 310.92, -2.76, -0.88%) trades modestly lower, and Wells Fargo (WFC 82.75, -3.89, -4.49%) is one of the worst-performing S&P 500 components after missing revenue estimates.

Meanwhile, the energy sector (-2.9%) is a laggard amid the slide in oil prices, while the defensive consumer staples (-0.4%) and utilities (-0.4%) sectors, along with the materials sector (-0.7%) hold more modest losses.

Overall, the tone remains firmly risk-on, supported by falling oil prices and renewed mega-cap leadership that has the S&P 500 back on the doorstep of record highs. Reviewing today's data: