US stocks opened higher on Wednesday, buoyed by stronger-than-expected private payrolls data and reports that Iran has indirectly approached the United States to discuss terms for ending the escalating conflict, easing some investor concerns despite ongoing geopolitical risks.
The Dow Jones Industrial Average rose about 180 points, or 0.4%, at the open. The S&P 500 gained 0.3%, while the Nasdaq Composite advanced 0.5%.
Oil prices pulled back after US Treasury Secretary Scott Bessant told CNBC that Washington would make “a series of announcements” aimed at ensuring the smooth flow of crude through the Persian Gulf. His comments followed remarks from President Donald Trump on Tuesday that the US could provide insurance for tankers operating in the Gulf and deploy the Navy to escort vessels through the Strait of Hormuz, if needed.
Following Bessent’s remarks, the recent rally in crude prices lost momentum. Brent crude futures slipped 0.7%, while West Texas Intermediate crude fell more than 1%. Both benchmarks had ended Tuesday off their intraday highs but were still up more than 4% for the session.
Bessent also said Trump’s 15% global tariff announced late last month would be implemented this week. However, he added that US tariff rates could revert to levels seen before the recent Supreme Court ruling within five months, signalling further potential shifts in trade policy.
