IXIC: Nasdaq Futures Poised to Extend Tech Index’s Pump as Trump Says Ceasefire Now in Effect

“THE CEASEFIRE IS NOW IN EFFECT. PLEASE DO NOT VIOLATE IT!” he wrote on his Truth Social.

📈 Nasdaq Futures Pop

• The Nasdaq Composite index IXIC was poised to resume its climb for the week after futures contracts were pointing to a higher open on Tuesday.
• The tech-heavy index’s futures were floating higher by more than 1% after the index booked a 1% Monday gain, following Iran’s contained and muted response to the weekend US strike.
• What happened, more precisely? Iranian missiles — 14 of them — were launched at a US base in Qatar. All but one were intercepted, with the lone one heading into an unthreatening direction.

🍀 Green Arrows Everywhere

• Investors interpreted the lightweight response as an indication for peace and loaded up on their stock picks, leading all three indexes to green pastures. The Nasdaq finished up by 1%, just as the S&P 500, and the Dow Jones clocked out with a 0.9% pop.
• Today, all three benchmarks are green again thanks to Trump’s announcement of a ceasefire. Both Iran and Israel are yet to confirm it, with Iran saying it will stop the fighting as soon as Israel does.
• "Officially, Iran will start the CEASEFIRE and, upon the 12th Hour, Israel will start the CEASEFIRE and, upon the 24th Hour, an Official END to THE 12 DAY WAR will be saluted by the World," Trump said in a social media post on Monday.

📝 Ceasefire and Fedspeak

• Early on Tuesday, Trump followed up by saying that “THE CEASEFIRE IS NOW IN EFFECT. PLEASE DO NOT VIOLATE IT!” Worth saying, Iranian missiles claimed four victims a few hours ago. Will the ceasefire last? If yes, then that’s good news for global markets.
• Besides the war jitters keeping traders on their toes, Federal Reserve boss Jay Powell will be heading today to speak to the US Senate. In a two-day testimony, he will be addressing the way forward for the US economy, the chances of interest rate cuts and the prospects of inflation and employment.
• Against this backdrop, volatility is expected to stay elevated, potentially presenting some trading opportunities for the risk takers out there. But still, tread with caution — it’s a fragile peace process and surprises aren’t off the map.