Analysts said oil traders were taking an “optimistic view” that disruption in the region could soon ease.
Options trader Steven Rodriguez, centre, works on the floor of the New York Stock Exchange, Friday, May 29, 2026. (Photo: AP/Richard Drew)
30 May 2026 05:36AM
NEW YORK: Stock markets were mixed while oil prices fell again on Friday (May 29) on investor optimism that the United States and Iran would reach a deal to extend their ceasefire - despite Washington and Tehran offering conflicting views on the state of negotiations.Oil markets have been up and down this week as investors assess the chances of a breakthrough deal that could potentially resume shipping through the crucial Strait of Hormuz.Those hopes had been briefly dashed by new US military strikes on Iran on Wednesday, countered by the Revolutionary Guard's targeting of an American airbase in the region.On Friday, US President Donald Trump held a meeting during which he said he would make a "final determination" on a peace deal. Iran's foreign ministry said negotiations were ongoing and there was no final agreement.Nevertheless, the reports of progress sent the S&P 500 to a record high before it pared those gains slightly at the close. Other Wall Street indices also rose on Friday, while Europe's main markets were flat ahead of the weekend.While details of the possible agreement are scarce, "oil traders are taking an optimistic view that the end could be in sight for disruption in the region," said Derren Nathan, head of equity research at Hargreaves Lansdown.However, "the market's patience may be tested if a deal is not agreed by early June, and this could have big ramifications for the oil price and the global stock market rally," said Kathleen Brooks, research director at XTB.Art Hogan of B. Riley Wealth Management told AFP the tech sector was continuing to drive equity markets."It looks like we'll wrap up a ninth consecutive week of higher markets, largely driven by some new names coming out to be beneficiaries of artificial intelligence today," he said, citing Dell, Micron and SanDisk among individual companies that have delivered big gains.
