US Markets Rise on News of Israel-Iran Ceasefire
On June 24, 2025, major US stock indices saw gains as Wall Street responded to news of a delicate ceasefire between Israel and Iran. The Dow Jones Industrial Average rose by 280 points or 0.6%, while the S&P 500 increased by 0.7%, and the Nasdaq Composite climbed 1%. This uplift followed President Donald Trump's announcement that the two countries agreed to end a 12-day conflict, easing geopolitical risks and encouraging investor confidence in risk assets including cryptocurrencies.
Bitcoin and Oil React to Geopolitical Developments
In response to the ceasefire news, Bitcoin reclaimed the $105,000 price level, reflecting firmer market sentiment. Concurrently, oil prices experienced a decline as tensions in the Middle East showed signs of temporary abatement. However, despite the positive market reaction, concerns over the ceasefire's sustainability persist, particularly after Israel accused Iran of violating the agreement and promised a strong retaliatory response.
Lingering Risks Maintain Investor Caution
While investors have embraced the ceasefire's potential to bring stability, lingering jitters remain due to the fragility of the truce. President Trump urged restraint from Israel, cautioning against military escalation via public messages. Market participants are wary that renewed hostilities, counterattacks, or new US involvement might quickly reverse recent gains and heighten volatility across stocks and crypto assets. Experts like former Under Secretary of Defense Michèle Flournoy warn that the conflict is far from resolved, underscoring continuing geopolitical uncertainty.
Macro Factors Also in Focus
Investors are simultaneously monitoring broader economic indicators such as upcoming US tariff negotiations and interest rate policy signals. The market will closely watch Federal Reserve Chairman Jerome Powell's upcoming Senate testimony for clues about future monetary policy, which could influence equities sentiment. Positive developments on trade or interest rates may add momentum to the markets, further supported by easing geopolitical tensions if the ceasefire holds.