Signs of Inflation Easing and Hopes for Iran Ceasefire... New York Stock Market Recovers Most of War Losses

US stocks rebounded sharply at Wednesday’s close on April 14 (early Thursday morning in Korean time), as investors cheered easing inflation concerns and hopes for a US-Iran ceasefire. The Dow Jones Industrial Average rose 317 points, or roughly 0.7%, to 48,535.99; the S&P 500 gained 1.2%; and the Nasdaq advanced 2.0%, recouping a significant portion of the losses suffered since the war broke out. A weaker-than-expected producer price index report fueled expectations that inflationary pressures have peaked, and news of potential additional talks between the US and Iran revived risk-asset demand.

Corporate earnings also bolstered investor sentiment. Goldman Sachs and Citigroup delivered first-quarter results that surpassed market forecasts, lifting financial stocks broadly, while major tech and semiconductor names—sensitive to AI demand—led the rally. Meanwhile, amid ceasefire hopes, WTI crude oil slid into the low $90s per barrel, leaving energy shares relatively underperforming.

Although there were no official Federal Reserve events, the bond market has slightly adjusted its expectations for rate cuts in light of recent Fed hawkish remarks and inflation forecasts. Nonetheless, many analysts believe that if the combination of “positive inflation data plus reduced war risk” persists, short-term appetite for growth-oriented risk assets could remain intact. Investors should simultaneously monitor upcoming consumer data, the potential extension of the Iran ceasefire, and any rebound in oil prices.