S&P 500, Nasdaq Hit Record Highs as US-Iran Ceasefire Extended 60 Days, AI Stocks Rally

U.S. stocks surged to record closes on May 28, 2026, after a draft agreement to extend the U.S.-Iran ceasefire by 60 days eased geopolitical tensions and AI euphoria continued. The S&P 500 climbed 0.58% to 7,563.63, the Nasdaq Composite advanced 0.91% to 26,917.47, and the Dow added 0.05% to 50,668.97, all closing highs. The truce extension awaits President Trump’s final approval. Separately, April PCE inflation rose 3.8% year-over-year, the fastest in nearly three years, while first-quarter GDP growth was revised down to 1.6%. AI-related stocks led gains: Microsoft (MSFT) jumped 3.5% on plans for a new AI coding model, Snowflake (SNOW) surged 36% after raising its outlook and signing a $6 billion AWS deal, and Marvell (MRVL) gained 3%. Eli Lilly (LLY) added 4% as CVS restored coverage for its weight-loss drug. Dollar Tree (DLTR) and Best Buy (BBY) rose sharply on strong forecasts.