Global Equities Rally on Iran Hopes; Nvidia Backs Marvell AI, McCormick Hits 8-Year Low
Global equity markets experienced a significant rally, with major indices surging on optimism surrounding a potential resolution to the conflict in Iran. The Dow and S&P 500 each climbed over 2%, while the Russell and Nasdaq Composite recorded even stronger gains, exceeding 3% each. This broad market uplift was primarily driven by reports from Iranian state media suggesting the president's readiness to end the war and seek guarantees against future conflict.
Amidst the broader market optimism, specific corporate developments also shaped individual stock performances. Nvidia (NVDA) announced a strategic $2 billion investment in Marvell (MRVL), fostering collaboration in AI and silicon photonics. This news propelled Marvell's stock up 13%, with Nvidia also closing higher by 5.5%. Conversely, McCormick (MKC) faced headwinds after entering a merger agreement with Unilever's foods business, which saw McCormick's stock close down 6% and reach a near 8-year low.
Despite the market's positive sentiment, crude oil prices remained elevated, with WTI crude rising substantially by 51% in March and 77% in the first quarter, staying above $100 a barrel. The McCormick-Unilever deal valued Unilever's foods business at approximately $45 billion and McCormick at about $21 billion. Unilever shareholders are anticipated to receive shares equating to 65% of the combined company's equity, valued at roughly $29.1 billion.
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