Software Stocks Rebound as S&P 500 and Nasdaq 100 Hit Record Highs

Optimism around a potential US-Iran peace deal boosts markets, but industrial stocks fall on tariff concerns.

Apr. 15, 2026 at 10:08pm

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An extreme close-up of intricate, industrial-looking financial equipment and mechanisms, conveying a sense of the complex systems that drive the economy.As tensions over trade policies escalate, the financial machinery that underpins the markets faces increased scrutiny.NYC Today

The S&P 500 and Nasdaq 100 indexes closed at record highs on Wednesday, driven by gains in software and cybersecurity stocks. Optimism around a potential extension of the US-Iran ceasefire and hopes for a peace deal supported the market rally, though industrial stocks fell on concerns about the impact of US metals tariffs. The Dow Jones Industrial Average closed slightly lower, weighed down by declines in industrial names like Carrier Global and Lennox International.

Why it matters

The market's reaction highlights the influence of geopolitical developments, particularly the ongoing tensions between the US and Iran, on investor sentiment. The divergence between the performance of technology/software stocks and industrial stocks also reflects the uneven impact of macroeconomic factors like trade policies and inflation on different sectors of the economy.

The details

The S&P 500 closed up 0.80%, the Nasdaq 100 rose 1.40%, while the Dow Jones Industrial Average slipped 0.15%. Optimism around a potential extension of the US-Iran ceasefire and progress towards a peace deal boosted stocks, though industrial names fell on concerns about the costs of US metals tariffs. Software stocks like Atlassian, Datadog, and ServiceNow led the market higher, rebounding from recent declines. Cybersecurity firms Cloudflare, Zscaler, and Okta also posted strong gains. However, industrial companies such as Carrier Global, Lennox International, and Caterpillar fell amid worries about the impact of tariffs on their operations and profitability.

  • On Monday, the US began a naval blockade of the Strait of Hormuz.
  • The US-Iran ceasefire is currently set to expire on Tuesday.

The players

S&P 500 Index

A stock market index that tracks the performance of 500 large-cap U.S. publicly traded companies.

Nasdaq 100 Index

A stock market index that includes the 100 largest non-financial companies listed on the Nasdaq stock exchange.

Dow Jones Industrial Average

A stock market index that tracks 30 large publicly traded companies.

Atlassian

An Australian software company that develops products for software developers, project managers, and content management.

Carrier Global

An American company that provides heating, ventilating, air conditioning, refrigeration, fire, security, and building automation technologies.

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What they’re saying

“We're still persistently missing the inflation mandate and that my baseline is the Fed is on hold for a 'good while'.”

— Beth Hammack, Cleveland Fed President

What’s next

The US and Iran are considering extending their ceasefire by another two weeks to allow more time to negotiate a peace agreement.

The takeaway

The market's performance reflects the complex interplay between geopolitical developments, trade policies, and sector-specific factors. Investors will continue to closely monitor the progress of US-Iran negotiations and the impact of tariffs on industrial companies as they assess the broader economic outlook.