US-Iran peace hopes lift Asian stocks; S&P hits record

Reports that the U.S. and Iran are nearing a memorandum to end the conflict prompted immediate market moves on Thursday. Asian equities rose, U.S. technology shares rallied and oil prices fell, while gold and the Japanese yen strengthened.

The S&P 500 rose about 1.5% to roughly 7,365 and the Nasdaq 100 climbed about 2.1% to 28,599. The Philadelphia SOX semiconductor index jumped about 4.5%. Intel gained about 13% on reports of a partnership with Apple, and AMD jumped roughly 16.5% in after-hours trading after reporting strong earnings and AI-related developments. The Russell 2000 and the Dow also advanced, and European equities closed higher.

In Asia, the Nikkei 225 surged about 5.4% to an all-time high near 62,720. South Korea’s KOSPI and Hong Kong’s Hang Seng moved higher, and the China A50 reached a 52-month peak. Lower oil prices reduced energy costs for major importers in the region.

West Texas Intermediate crude fell toward about $90.50 a barrel from recent highs. The U.S. 30-year Treasury yield eased below 5% to about 4.98%, and the 10-year yield held near 4.4%. Spot gold rose more than 3% to about $4,703 per ounce. The U.S. dollar weakened broadly; the Australian dollar traded near 0.7238 and the Japanese yen strengthened to roughly 155 per dollar. Traders flagged suspected “stealth intervention” by Japanese authorities as a factor in the yen's move.

On the economic front, ADP reported private payrolls increased by 109,000 in April, above a consensus forecast of 99,000. Market participants were watching U.S. initial jobless claims and eurozone retail sales due later in the day for further data on labor and consumer activity.

The semiconductor sector recorded notable gains after earnings beats and reports of strategic partnerships, with investors citing rising demand tied to artificial intelligence as a factor driving sector performance.

Markets awaited further details on the U.S.-Iran memorandum and incoming economic releases to guide trading across stocks, bonds, currencies and commodities.