Market Close: Stocks Rise, Iran-Oman Hormuz Talks, Consumer Confidence Falls • 8/25/26

• US major averages closed higher, with the Dow up 160 points, S&P 500 up 24 points, and Nasdaq up 171 points.
• Merck shares rose 3.8%, and Nvidia shares were up 2% ahead of its quarterly earnings report.
• Iran and Oman are reportedly discussing a joint shipping route in the Strait of Hormuz, causing US crude prices to tick lower to $82 a barrel.
• Canada announced retaliatory tariffs on US goods, matching US tariffs dollar-for-dollar, excluding energy products.
• Consumer confidence fell to 89.4, missing expectations, and new home sales in July were down 10.5% month-over-month, with rising inventory and falling median prices.

Major US stock indices closed higher on Tuesday, led by Merck and chipmakers like Nvidia ahead of earnings. However, geopolitical discussions between Iran and Oman impacted oil prices, while Canada announced retaliatory tariffs against the US. Consumer confidence and new home sales data disappointed, indicating potential economic headwinds.