Japan Financial Markets

Stocks closed higher on Wall Street, taking back most of their losses from a day earlier that were driven by anticipation that the Federal Reserve will likely raise interest rates this year in an effort to fight inflation. The S&P 500 rose 1.1% Thursday. The Dow Jones Industrial Average added 0.1%, and the Nasdaq composite jumped 1.9%. Crude oil prices wavered after the United States and Iran signed an agreement to end their war and reopen the Strait of Hormuz to oil tanker traffic. Treasury yields eased in the bond market.

World shares are mixed, with markets in Greater China closed for holidays. U.S. futures declined as optimism over the U.S.-Iran deal to end their war was dimmed by the postponement of high-stakes talks on reopening negotiations over Iran’s nuclear program and getting oil moving through the Strait of Hormuz. Sentiment has also been hit by expectations that central banks including the Federal Reserve will keep raising interest rates to try to curb inflation. On Thursday, the S&P 500 rose 1.1% and the Dow industrials added 0.1%. The Nasdaq composite jumped 1.9%. U.S. markets will be closed Friday for Juneteenth.