S&P 500 Ends Up 0.17% as Iran Headlines and Nvidia's 2% Drop Whipsaw Markets
Updated
Updated · Investing.com · May 22
S&P 500 Ends Up 0.17% as Iran Headlines and Nvidia's 2% Drop Whipsaw Markets
13 articles · Updated · Investing.com · May 22
The S&P 500 closed nearly flat, up 17 basis points, after opening lower on Nvidia earnings and then rebounding on Iran-related headlines that were later denied.
Nvidia fell about 2%, and traders now face a bigger test on Friday as call options at $230, $240 and $250 look set to expire out of the money, risking added selling from hedge unwinds.
Volatility may also stay elevated into the three-day weekend because Kevin Warsh is being sworn in as Fed chair on Friday and Iran uncertainty could spur fresh hedging rather than the usual post-holiday volatility crush.
Oil markets underscored that tension: while July crude fell, September, November and December contracts each rose nearly 1%, signaling upside pressure remains stronger further out on the curve.
Why are long-term oil prices rising if a U.S.-Iran peace deal is on the table?
How will a new Fed 'regime change' reshape markets already rattled by the Iran conflict?
Can Nvidia's huge valuation survive geopolitical turmoil and a major central bank policy shift?