Financial Markets                      03/25 09:33

   

   NEW YORK (AP) -- Hope for a possible end to the war with Iran is pushing 
stocks higher again on Wall Street Wednesday, while oil prices ease.

   The S&P 500 rose 0.5% in its latest flip - flop after the United States 
delivered a plan to pause the war to Iran. The Dow Jones Industrial Average was 
up 257 points, or 0.6%, as of 10 a.m. Eastern time, and the Nasdaq composite 
was 0.8% higher.

   But the moves are shaky, and the S&P 500 more than halved its early jump of 
1.2% in the first half hour of trading. Financial markets have been quick to 
swing since the war began more than three weeks ago with strikes by the United 
States and Israel on Iran. Many of the sudden reversals in momentum have struck 
hour to hour as uncertainty continues to dominate about how long the war will 
last.

   Keeping up that uncertainty on Wednesday: Iran did not confirm receiving the 
U.S. proposal for a ceasefire, and it publicly dismissed the diplomatic effort 
while launching more attacks on Israel and Gulf Arab countries. Iran also 
continued to come under attack, and the U.S. military is deploying paratroopers 
and more Marines to the region.

   Optimism, though, was nevertheless evident in financial markets worldwide. 
Stock indexes climbed more than 1% from London to Paris to Shanghai. The Nikkei 
225 in Japan leaped 2.9%.

   The price for a barrel of Brent crude fell 4.4% and dropped below $96 on 
hopes that a cooldown in fighting could allow oil and natural gas to flow more 
freely from the Persian Gulf to customers around the world. Many oil tankers 
are currently stuck outside the Strait of Hormuz off Iran's coast, and the 
blockage has sent Brent crude to nearly $120 per barrel at times.

   In the bond market, Treasury yields also eased. That could help soften the 
rise in rates for mortgages and other kinds of borrowing since the start of the 
war. That in turn could lessen the pressure on the economy.

   The yield on the 10-year Treasury fell to 4.34% from 4.39% late Tuesday, 
though it remains well above its 3.97% level from just before the war.

   Even gold, which has been one of the investment world's worst losers through 
the war, rose. It climbed 3.3% to $4,546.80 per ounce.

   Gold's price had briefly gotten near $5,400 early this month. That was 
before Treasury yields rushed higher on worries that high oil prices would 
drive inflation upward and prevent the Federal Reserve from cutting interest 
rates. When bonds are paying more in interest, they make gold, which pays its 
investors nothing, less attractive in comparison.

   On Wall Street, companies with big fuel bills rallied thanks to easing oil 
prices.

   Norwegian Cruise Line Holding climbed 3.2%, and United Airlines gained 3.3%.

   The stock of Arm Holdings that trades in the United States soared 15.5% 
after the U.K. giant unveiled a suite of chips for data centers and 
artificial-intelligence technology.

   Robinhood Markets leaped 6.6% to help lead the U.S. market after its board 
authorized a program to send up to $1.5 billion to shareholders by buying back 
the company's stock.

   Terns Pharmaceuticals rose 5.3% after Merck said it would buy the oncology 
company in an all-cash deal valuing it at $6.7 billion. Merck added 1.5%.

   On the losing end of Wall Street was On Holding. The Swiss company that 
sells On shoes slumped 7.8% after saying its CEO, Martin Hoffmann, is stepping 
down.

   ___

   AP Business Writers Chan Ho-him and Mat Ott contributed.

   ---------

   itemid:826e691e2fd93a63ac8ec8ed98924a17