Market Highlights

Wall Street traders grappling with a range of possible outcomes for the war in Iran drove stocks away from session lows amid hopes for talks to end a conflict that kept dragging on. Oil rose. Bonds fell. The S&P 500 pared a drop that earlier approached 1%. President Donald Trump signaled that Iran had offered a “present” as a show of good faith in negotiations, noting it was related to Strait of Hormuz flows.The US and regional mediators are discussing the possibility of holding high-level peace talks as soon as Thursday, but await a response from Tehran, Axios reported. Equities rallied and oil dropped as US diplomatic efforts fueled cautious optimism that the Middle East conflict may begin to ease, tempering concerns over prolonged disruption.