Markets Make an Uneasy Truce With Iran War Risks. This Is What a Real Rally Needs.

Global markets on Wednesday reflected both hopes for an end to the U.S. war with Iran and caution with respect to the uncertainties that still linger over the month-long conflict as investors regroup into the first day of the second quarter. U.S. stocks ended March on a massive upswing, with the booking its best single-day advance since May, following comments from President Donald Trump, as well as overtures from officials in Tehran, that suggested the war could come to an end over the next few weeks. The U.S. gains left the S&P 500 down 4.6% for the quarter, and nearly 6.5% from the record high it reached in late January, but far enough away from correction territory to soothe nerves on Wall Street heading into the start of the first-quarter earnings season in mid-April.