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.
