Stocks finished higher on Monday, though President Donald Trump’s announcement in the afternoon that Tuesday will bring a decision on the Iran deal sent both stocks and oil prices lower.
On Monday afternoon, Trump tweeted that at 2:00 p.m. ET on Tuesday he will announce his decision on whether the U.S. will continue to abide by the terms of the nuclear deal struck with Iran in 2015 by the Obama administration.
Market thinking goes that were Trump to remove the U.S. from this deal, oil prices would rise with new sanctions imposed on Iran and stocks would tumble with tensions in the Middle East escalating. Staying in the deal could do the opposite. Monday’s reaction saw both stocks and oil drop from their intraday highs, indicating markets are unsure what Tuesday holds.
Ultimately, each of the major indexes closed in the green with the Dow and S&P 500 both gaining a bit more than 0.3% and the Nasdaq rising just under 0.8%. The price of West Texas Intermediate crude oil, the U.S. benchmark, moved above $70 a barrel early in the day before settling just below this level.
On Tuesday, the big news for markets outside of Trump’s Iran announcement will be earnings from Disney (DIS), which are expected out after the bell. The company should report earnings per share of $1.70 on revenue of $14.1 billion, according to estimates from Bloomberg. Investors will likely be particularly interesting in news related to its proposed deal to buy 21st Century Fox (FOXA) as well as results from its cable network business.
And on the economic data side, Tuesday will bring investors the latest reading on small business optimism, which has been one of the strongest economic data points since Trump’s election win, as well as March data on job openings.
Myles Udland is a writer at Yahoo Finance. Follow him on Twitter @MylesUdland