U.S. stocks closed in the red on Tuesday as investors weighed the looming expiration of the U.S.-Iran ceasefire, a surprise leadership change at Apple, and the Senate confirmation hearing for Federal Reserve chair nominee Kevin Warsh. While a blockbuster earnings report from UnitedHealth Group provided a bright spot, it was not enough to offset broader anxiety over rising oil prices and the geopolitical backdrop. All three major indexes gave back ground after flirting with positive territory earlier in the session.
The Dow Jones Industrial Average fell 298.05 points, or 0.60%, to close at 49,149.38. The S&P 500 (SPI:SP500) dropped 45.13 points, or 0.63%, finishing at 7,064.01. The Nasdaq Composite slid 208.52 points, or 0.85%, to end at 24,259.96. Crude oil moved sharply higher, with WTI settling up nearly 3% at $92.13 per barrel and Brent climbing 3.1% to $98.48, as traders priced in the growing risk that Vice President JD Vance’s planned trip to Pakistan for peace talks with Iran might not materialize. President Trump told CNBC he expects to secure a deal but is prepared to resume the war if negotiations fail.
Notable Movers
UnitedHealth Group (UNH) was the session’s standout gainer, surging roughly 9% after reporting first-quarter earnings that beat Wall Street on both the top and bottom lines. Revenue came in at $111.7 billion versus the $109.6 billion expected, and the healthcare giant raised its full-year adjusted earnings outlook to more than $18.25 per share, up from a prior target above $17.75. The company’s medical benefit ratio improved to 83.9%, comfortably below the 85.5% analysts had forecast.
Apple (AAPL) fell 1.8% after announcing that hardware chief John Ternus will succeed Tim Cook as CEO effective September 1, with Cook transitioning to the role of executive chairman. Cook has led the company for nearly 15 years, and while the succession had long been anticipated, the formal announcement — combined with questions about the timing and strategic direction under new leadership — weighed on shares.
Intel (INTC) climbed 2% after HSBC upgraded the stock to Buy with a nearly doubled price target of $95, citing server CPU demand as a near-term catalyst. On the losing side, Tesla (TSLA) dipped 1% ahead of its quarterly earnings report on Wednesday, and Nvidia (NVDA) fell more than 1% as the broader tech sector pulled back.
Looking Ahead
The immediate focus shifts to whether U.S.-Iran peace talks resume before the ceasefire expires Wednesday evening. A failure to extend the truce could send oil prices — already back near triple digits on Brent — significantly higher and test investor confidence that has kept the S&P 500 near record territory. On the corporate calendar, Tesla headlines a busy slate of earnings on Wednesday, while Kevin Warsh’s confirmation process will continue to draw scrutiny as markets parse his remarks about Fed independence. With crude volatile and geopolitical risk elevated, investors should brace for a bumpy stretch even as strong first-quarter earnings continue to provide an underlying floor for equities.