The Dow Jones recovered over 300 points from the lows of the day, to end with gains of 160 points. The futures at one point had declined nearly 500 points when trading had resumed on Sunday evening. The S&P 500 recovered 50 points from the lows but ended just below the flat line, while the Nasdaq underperformed for the second-day running, ending with losses of 0.5%.
The Donald Trump Post
Trump wrote on Truth Social that based on the request made by Qatari Emir Tamim bin Hamad Al Thani, Saudi Crown Prince Mohammed bin Salman, and UAE President Mohammed bin Zayed al Nahyan, he is holding off on the planned Iran attack.
He added that serious negotiations are taking place with Iran and that a deal will be reached which will include Iran not having a nuclear weapon.
Trump wrote further that he has instructed his Department of War and the military to be ready for attack in case a deal is not reached.
Impact Of Trump’s Post
Barring a minor recovery on Wall Street, the market has not read much into the post. Crude oil prices are marginally lower on Tuesday, though they continue to remain at elevated levels.
The US 10-year bond yield also continues to hover around the 4.6% mark, while bond yields in Japan are at a record high for the 30-year note.
The US Dollar index has slipped below levels of 99 after Trump’s post.
Why Is Nasdaq Under Pressure
Memory Chip stocks led the declines on the Nasdaq on Tuesday. Stocks such as Seagate led the losses after its CEO spoke at a JPMorgan conference stating that new factories will take too long to build. Seagate fell 7% on Monday.
Along with Seagate, shares of other memory chip names such as Micron, SanDisk and Western Digital also fell between 5% to 7% on Monday.
It must be noted that all of these stocks highlighted above, have gained between 120% to as high as 380% so far in 2026.
Profit booking also continued in Nvidia and Broadcom, which pressured the Nasdaq. Both fell 1% each. Nvidia reports results after market hours on Wednesday.
Later today, retail companies such as Home Depot will begin to report their quarterly numbers.
