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Despite Iran denial, US stocks soar on Trump's claim of negotiations

  • S&P 500, NASDAQ, Dow Jones pop after President Trump claims progress on negotiations.
  • Iran denies that any negotiations took place this weekend.
  • Trump says US and Israel will hold off on bombing energy infrastructure for five days.
  • Oil futures slump over 9%, briefly trading below $90/barrel.

US stocks spiked on Monday morning after US President Donald Trump claimed that negotiations were underway with Iran in an effort to end the nearly one-month war. The NASDAQ Composite and Dow Jones Industrial Average (DJIA) both spiked momentarily above 2%, while the S&P 500 gained 1.7%.

Trump Truth Social negotiations Iran
Post from President Trump's TruthSocial account on March 23, 2026

Oil futures tanked 9% on the news, edging slightly below $90/barrel, even though most reports suggest Trump's statement is false. The Iranian Foreign Ministry denied that it has been engaged in direct negotiations, and this episode appears similar to another false announcement by the Trump administration earlier in March.

Similarly to last time, rumors abound that enormous positions were taken in the market in the minutes before Trump released his statement to Truth Social, his personal social media platform.

X.com post by @adamscochran purports to show largescale purchase of S&P 500 futures several minutes before the news broke.

Still, the market believes that Trump's promise to hold off on bombing energy infrastructure for five days might create the space for a lasting peace deal. Trump suggested on Fox Business that the war could wrap up in five days or less. However, an Israeli officials was quoted, "We plan to continue operations while avoiding targeting energy facilities."

S&P 500 chart

SP500 daily chart
S&P 500 daily index chart for March 23, 2026

The S&P 500 has recovered above the 6,550 former support level at the time of writing. This is a terrific sign for bulls, but they might want to take profits off the table here. That's because last Friday's breakdown of that level means that 6,400 is on the table. The 6,400 round figure hasn't been touched since late September 2025.

For now, traders could hold onto their positions until Oil futures or US Treasury yields reverse higher.

Author

Clay Webster

Clay Webster

FXStreet

Clay Webster grew up in the US outside Buffalo, New York and Lancaster, Pennsylvania. He began investing after college following the 2008 financial crisis.

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