Dow Jumps Over 600 Points On Iran Truce Hopes: Investor Sentiment Improves, Fear Index Remains In 'Greed'
Benzinga
Last updated: May 21, 2026
U.S. stocks experienced a significant increase on Wednesday, driven by falling crude oil prices and renewed hopes of de-escalation between the U.S. and Iran. The CNN Money Fear and Greed index indicated a market sentiment in the "Greed" zone.
- U.S. stocks closed higher, with the Dow Jones index climbing over 600 points. This rise was influenced by a drop in crude oil prices following President Trump's comments about "final stage" negotiations with Iran and Iran's confirmation of ongoing exchanges.
- Economic data revealed a 2.3% decline in U.S. mortgage applications in the second week of May.
- Most sectors within the S&P 500 saw gains, particularly materials, information technology, and consumer discretionary stocks. Conversely, consumer staples and energy stocks closed lower.
- The Dow Jones ended the session up approximately 645 points at 50,009.35. The S&P 500 gained 1.08% to 7,432.97, and the Nasdaq Composite rose 1.54% to 26,270.36.
- The CNN Money Fear and Greed index stood at 60.9, remaining in the "Greed" zone, an increase from the previous day's reading of 59.4. The index, ranging from 0 (maximum fear) to 100 (maximum greed), measures market sentiment based on seven indicators.
