Markets mixed as investors weigh US-Iran deal hopes and fighting

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Wall Street stocks mostly rose to record highs on hopes of a potential peace deal between the US and Iran. While some stocks shuffled between gains and losses on Wednesday, strategists lifted S&P 500 year-end targets following a strong earnings season.

Markets in Asia and the Asia-Pacific region showed mixed results, at times edging higher or lower as investors assessed a fragile ceasefire and ongoing negotiations. Traders continued to cling to expectations of a peace agreement despite renewed military tensions in the Middle East.

The U.S. military recently carried out what officials described as defensive strikes in southern Iran. These actions, which took place on Monday, targeted missile launch sites and boats placing mines in the Persian Gulf.

Oil prices remained mixed or gained as investors weighed the risks hanging over consumers and markets. Investors are betting that a deal to reopen the Strait of Hormuz will restore energy flows and soothe deep global economic uncertainty, even as hostilities flare to test the fragile ceasefire.

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