Stock market today: Dow, S&P 500, Nasdaq jump amid hopes of US-Iran talks as oil falls below $100

Meta (META) and Alphabet stocks (GOOG, GOOGL) diverged following a landmark verdict in a social media addiction case.

On Wednesday, the jury in a lawsuit against social media companies ruled in favor of the plaintiffs, finding Meta and YouTube liable for $3 million in damages.

Meta stock was up 1%, while Alphabet shares wavered before slipping into the red.

Yahoo Finance’s Daniel Howley reports:

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Yahoo Finance’s Francisco Velasquez reports:

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Gold (GC=F) futures rose 3% on Wednesday, giving hope to precious metals bulls that the sharp drawdown since the Iran war broke out has bottomed.

Futures hovered above $4,500 after dropping to a weekly low of $4,115 per ounce. The metal has struggled to live up to its traditional reputation as a safe-haven asset.

Rising inflation expectations and tighter monetary policy have weighed on gold in recent weeks, pushing it down roughly 15% before Wednesday’s rebound.

Meanwhile, oil prices fell as the US advanced a potential peace plan, with the New York Times reporting that Washington sent Tehran a 15-point ceasefire proposal.

Advanced Micro Devices (AMD) and Intel (INTC) gained on Wednesday after Nikkei Asia reported that the two chipmakers told clients they would increase prices for central processing units (CPUs) starting in March and April, respectively.

The price hikes arrive as a supply crunch is affecting wait times for CPUs for servers and PCs. An executive at a server maker told Nikkei Asia that the wait time for a CPU maker has ballooned from one to two weeks on average to eight to 12 weeks, and major PC makers Dell (DELL) and HP (HPQ) have also said that CPU supply has trailed demand.

CPU prices have already increased several times this year, leading to an average price hike of 10% to 15%, or higher in some cases, according to the report.

AMD and Intel both rose more than 6% as of noon ET. Semiconductor stocks like Nvidia (NVDA) were also buoyed by hopes that tensions in the Middle East could soon ease, as well as a 20% jump in Arm (ARM) shares after the company said it would make chips, not just design them.

The earnings outlook for the S&P 500 (^GSPC) has been improving, even as the war in the Middle East has injected new uncertainty into markets and made March a volatile month for stocks.

Bloomberg reports:

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Meta Platforms is expected to lay off “a few hundred people” on Wednesday, The Information reported Wednesday morning, citing two people familiar with the matter.

The outlet said layoffs were likely to hit its Reality Labs unit, sales, recruiting, and social media teams.

“Teams across Meta regularly restructure or implement changes to ensure they’re in the best position to achieve their goals,” a Meta spokesperson told Yahoo Finance. “Where possible, we are finding other opportunities for employees whose positions may be impacted.”

The report comes after Reuters said earlier this month that Meta was exploring deep staff cuts that could result in 20% of the company being shown the door.

Late Tuesday, Meta also rejiggered stock incentive plans for a handful of its top executives, which could see them earn nine-figure payouts if the company’s market capitalization climbs above $9 trillion in the years ahead.

US stocks opened higher, coming back from Tuesday’s losses after the US sent Iran a 15-point plan to restart peace talks, triggering cautious optimism that a resolution to the war may be in the works.

The S&P 500 (^GSPC) added about 1% at the open, while the Dow Jones Industrial Average (^DJI) and tech-heavy Nasdaq Composite (^IXIC) both gained 1.2%.

Oil prices pulled back, a welcome sign for drivers as average gasoline prices have crept closer to $4 per gallon. West Texas Intermediate (CL=F) crude fell 4.8% to $87 a barrel, while Brent (BZ=F) traded at $95 — falling below $100 for the first time in about two weeks.

Still, signs of an off-ramp for the hostilities remained somewhat tempered as Iranian officials called the plan a wishlist, and the two sides remained far apart.

KB Home (KBH) stock fell over 2% in premarket trading after the homebuilder said the war in the Middle East was another factor weighing on the already challenged housing market.

“Concerns surrounding the conflict in the Middle East have introduced an additional layer of uncertainty for consumers who were already working through numerous challenges,” executive chairman Jeffrey Mezger said, adding that the homebuilder believes it is “well positioned to navigate the current environment.”

Mezger’s warning came along with a guidance cut for the full year. In 2026, KB Home said it expects to deliver between 10,000 and 11,500 homes and bill $4.80 billion to $5.50 billion in revenue. The previous guidance was for 11,000-12,500 homes and $5.10 billion-$6.10 billion in revenue.

In the near term, KB Home said depressed consumer confidence, elevated mortgage rates, and affordability pressures have stifled demand ahead of the crucial spring selling season.

South Korean memory supplier SK Hynix (000660.KS) is preparing to list its shares in the US in the second half of the year, CEO Kwak Noh-Jung said at a shareholders meeting on Wednesday.

The Nvidia (NVDA) supplier said it has already filed for an American depositary receipt listing with the US Securities and Exchange Commission. The company said it will file another disclosure with more details within six months.

The listing is expected to be one of the biggest US debuts by a foreign company amid insatiable demand for a specialized form of memory for artificial intelligence.

Strong returns from hyperscalers like Meta (META) and Amazon (AMZN), and a shortage of these products, have spurred a race among SK Hynix (000660.KS), Samsung Electronics (005930.KS), and Micron Technology (MU) to produce high-bandwidth memory chips.

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On Wall Street, knowing what has and hasn’t ultimately driven sustained periods of poor performance needs to be top of mind. Right now, investors are facing a rare combination of triggers — and that’s a problem.

Yahoo Finance’s Myles Udland writes:

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Mining stocks, Newmont (NEM), SSR Mining (SSRM), and Freeport-McMoran (FCX), rose roughly around 5% during premarket on Wednesday as gold futures rose as investors became hopeful that the war in the Middle East would end soon.

DigitalOcean (DOCN) stock fell 7% before the bell on Wednesday after announcing it had started a public offering if 700 million shares, which the company said will fund infrastructure and debts.

Alibaba (BABA) and JD.com (JD) rose more than 3% before the bell on Wednesday after China’s State Administration for Market Regulation said it would move to end the food delivery price war.

Arm shares rose over 13% in premarket after the company launched its own CPU and linked server rack for artificial general intelligence — a pivotal move for the linchpin chip designer.

Yahoo Finance’s Daniel Howley reports:

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The biggest initial public offering on record could officially kick off its process this week.

The Information reported late Tuesday that SpaceX (SPAX.PVT) is preparing to file for its IPO with the SEC as soon as this week.

The rocket company led by Elon Musk is expected to raise up to $75 billion in its offering; the company was most recently valued at $1.25 trillion.

Bloomberg reports:

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Bloomberg reports:

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