Stocks U-Turn, Shaking Off AI Jitters -- WSJ

By Angus Berwick

Stocks abruptly reversed course this morning to trade higher on hopes that progress has been made in U.S.-Iran diplomacy.

The Dow is up by more than 500 points; the S&P 500 and Nasdaq also rose, brushing off earlier concerns around the artificial-intelligence trade. Brent crude prices fell back below $110 a barrel.

The move was apparently sparked by an Al-Araby Al-Jadeed report, which The Wall Street Journal hasn't verified, that mediators had presented a proposal to revive talks between the two countries.

Overseas, major Asian indices sold off, as shares in data-center startup Elice tanked over 30% on their trading debut in Seoul.

The unrest in France and higher energy prices sent the benchmark Stoxx Europe 600 index falling for a second day.

Later Tuesday, investors will scrutinize SpaceX's second earnings report as a public company for clues on the prospects of its AI business, its level of spending and more. Netflix and United Airlines are also due to report earnings.

This item is part of a Wall Street Journal live coverage event. The full stream can be found by searching P/WSJL (WSJ Live Coverage).

(END) Dow Jones Newswires

October 20, 2026 10:46 ET (14:46 GMT)