It's TACO time (again): Stocks surge after Trump cancels Iran strikes
It's TACO time (again): Stocks surge after Trump cancels Iran strikes
Max Adams Thu, June 11, 2026 at 8:32 PM UTC
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The TACO trade—short for Trump Always Chickens Out—how been a powerful force in markets in his second term.Joshua Blanchard/Getty Images for Taco Bell -
Stocks rallied Thursday after Trump backed down from threats to resume attacks against Iran.
Trump said he spoke with Iranian leadership, leading him to call off Thursday night's planned action.
The Dow gained nearly 1,000 points points and the Nasdaq 100 rose over 3%.
Investor were treated to TACO Thursday this week.
Donald Trump called off planned attacks against Iran on Thursday, backing down from earlier threats to resume military action.
His pivot sent stocks soaring and pushed oil prices lower.
Here's where major indexes stood at the 4 p.m. ET closing bell:
S&P 500: 7,394.30, up 1.75%
Dow Jones Industrial Average: 50,848.75, up 1.86% (+929.97 points)
Nasdaq 100: 29,446.18, up 3.3%
Trump said that following discussions with "the highest level of Iranian leadership," he had canceled bombings set for Thursday evening. Earlier in the day, Trump threatened to take Kharg Island, Iran's critical oil-export hub in the "not too distant future."
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Oil prices dropped after Trump backed off from his threats.
Brent, the international benchmark, was down almost 3% to $90.64, and US oil prices fell 2% to $87.75.
It's been a week of withering volatility for the US stock market. A recalibration of economic views in light of a red-hot May jobs report, followed by the hottest consumer inflation in three years, has led to major swings in the major indexes. The Dow dropped more than 900 points on Wednesday's, while chip stocks have sold off indiscriminately since late last week.
Traders will turn their attention next to the upcoming Federal Reserve policy meeting on June 16 and 17. It'll be the first with Kevin Warsh as Fed chair, with markets broadly expecting no change to the benchmark rate.
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Source: “AOL Money”
