Stocks posted a strong session today, with the S&P 500 (+1.1%), Nasdaq Composite (+1.5%), and DJIA (+1.3%) finishing near their best levels as tech and mega-cap names rebounded from recent weakness while an improving macro backdrop supported broader market gains.

Investors bought into semiconductor stocks from the opening bell, with NVIDIA's (NVDA 223.33, +2.72, +1.23%) earnings report after the close acting as a catalyst amid expectations for another blowout quarter. Advanced Micro Devices (AMD 447.58, +33.53, +8.10%) and Intel (INTC 118.96, +8.16, +7.36%) were among the information technology sector's (+1.9%) top performers, as the PHLX Semiconductor Index (+4.5%) moved into positive territory for the week.

Several mega-cap names elsewhere also received some "buy-the-dip" attention this morning, including Tesla (TSLA 417.26, +13.15, +3.25%) and Amazon (AMZN 265.01, +5.67, +2.19%), helping the Vanguard Mega Cap Growth ETF (+1.4%) move into positive week-to-date territory as well.

The consumer discretionary sector (+2.5%) was already off to a strong start as a result.

Momentum accelerated just before midday after President Trump told reporters on Air Force One that the U.S. is in the "final stages" of talks on Iran, which sent oil prices and Treasury yields sharply lower after both had already been trending modestly downward.

Crude oil futures settled today's session $5.96 lower (-5.7%) at $98.19 per barrel, and the 10-year note yield settled down ten basis points to 4.57%.

Cruise lines such as Norwegian Cruise Line (NCLH 16.04, +1.24, +8.42%) and Carnival (CCL 26.04, +2.14, +8.98%) moved sharply higher, while homebuilders including Lennar (LEN 87.32, +4.32, +5.20%) and D.R. Horton (DHI 141.78, +7.06, +5.24%) also outperformed, helping the consumer discretionary sector build on its strong start and finish as the best-performing S&P 500 sector.

The iShares U.S. Home Construction ETF finished 4.5% higher.

The intraday retreat in yields and oil prices helped the broader market move firmly higher after a somewhat muted start. United Airlines (UAL 98.02, +8.90, +9.99%) and Delta Air Lines (DAL 74.12, +6.36, +9.39%) were among the best-performing S&P 500 components, contributing to strength in the industrials (+1.2%), while a rebound in container and packaging names pushed the materials sector (+1.4%) higher, and the real estate sector (+1.2%) benefited from the retreat in yields.

Weakness was limited to the energy sector (-2.6%) amid the plunge in oil prices, while the defensive consumer staples (-1.0%) and health care (-0.1%) sectors were overlooked in favor of more growth-oriented stocks today.

The consumer staples sector was also pressured by weakness in Target (TGT 122.33, -4.91, -3.86%) despite the company posting a solid beat-and-raise earnings report, while Walmart (WMT 130.85, -3.35, -2.50%) traded lower ahead of its earnings tomorrow morning.

Outside of the S&P 500, the Russell 2000 (+2.6%) and S&P Mid Cap 400 (+1.9%) outperformed amid the more favorable interest rate backdrop.

Stocks posted wins on multiple fronts today, which helped the major averages move into positive territory for the week. While there is still a lack of clarity around the state of negotiations between the U.S. and Iran, today's slide in oil prices alleviated some upward pressure on Treasury yields that were becoming increasingly viewed as a material headwind for equities.

Additionally, investors continued to buy dips across semiconductor and mega-cap stocks, with NVIDIA's upcoming earnings release serving as an additional potential catalyst for the group.

U.S. Treasuries climbed on Wednesday, bouncing from a slide that lifted yields to fresh 2026 highs earlier this week. The market held its ground through today's $16 billion 20-year bond auction, which met good demand, while the April FOMC Minutes showed some division among policymakers about the future rate path, which was not a surprise. The 2-year note yield settled down eight basis points to 4.04%, and the 10-year note yield settled down ten basis points to 4.57%. 

• Russell 2000: +13.5% YTD
• Nasdaq Composite: +13.0% YTD
• S&P Mid Cap 400: +10.1% YTD
• S&P 500: +8.6% YTD
• DJIA: +4.1% YTD

Reviewing today's data:

• April Pending Homes Sales 1.4% (Briefing.com consensus 1.6%); Prior was revised to 1.7% from 1.5%