Dow Jones Industrial Average closed higher Monday after a volatile session that saw major indexes swing dramatically amid geopolitical headlines and sharp moves in oil prices. The Dow finished the day up about 239 points after being down nearly 900 points earlier in the session. The recovery came after President Donald Trump suggested the conflict with Iran could soon reach its conclusion, easing some of the fears that had driven oil prices sharply higher and weighed on equities earlier in the day.

Market Reversal Follows Trump’s Iran War Comments

Stocks rebounded after President Trump indicated that the military conflict involving Iran might be nearing its end. In comments reported during the trading session, Trump suggested the war was “very complete” and that U.S. forces were significantly ahead of the initial timeline for operations.

The remarks appeared to reassure investors who had been increasingly concerned that the conflict could escalate into a prolonged disruption of global energy markets. Earlier in the day, the Dow had fallen sharply as geopolitical uncertainty and surging oil prices rattled investor sentiment.

By the closing bell, however, the S&P 500 had climbed 0.83% to 6,795.99, while the Nasdaq Composite rose 1.38% to 22,695.95. The Dow Jones Industrial Average ended the session at 47,740.80, marking a notable recovery from its intraday lows.

Oil Prices Swing Wildly During the Session

Energy markets were at the center of Monday’s volatility. West Texas Intermediate crude surged overnight to more than $119 per barrel, its highest level since 2022, as fears mounted that disruptions around the Strait of Hormuz could choke off a key global oil supply route.

However, prices reversed sharply later in the day after signs emerged that shipping traffic through the Strait of Hormuz was continuing and policymakers were discussing ways to stabilize markets. WTI crude dropped to around $81 per barrel at one point during the session, while international benchmark Brent crude retreated toward $84.

The dramatic reversal highlighted how sensitive oil markets remain to geopolitical developments. Oil prices had started the year below $60 per barrel, meaning the recent spike represented a dramatic surge that briefly threatened to push energy costs into levels seen as damaging to global economic growth.

Semiconductor Stocks Drive Market Strength

Technology stocks, particularly semiconductor companies, played a major role in the market’s rebound. Several chipmakers posted strong gains as investors rotated back into growth sectors once oil prices eased.

Broadcom surged more than 4% during the session, while Micron Technology and Advanced Micro Devices each climbed about 5%. Nvidia also advanced over 2%, helping support broader market sentiment.

The rally in semiconductor stocks reflects continued investor confidence in artificial intelligence-driven demand for advanced computing hardware. Despite broader macroeconomic uncertainty, many analysts believe the AI investment cycle remains a powerful long-term driver for technology companies.

Looking ahead, investors are closely monitoring both geopolitical developments and energy market dynamics. The possibility that oil prices could exceed $100 per barrel remains a key concern for policymakers and investors alike, as sustained price increases could fuel inflation and pressure economic growth. However, if tensions in the Middle East begin to ease and oil markets stabilize, equities may regain momentum after the recent period of volatility.