Wall Street’s optimism that the Middle East conflict is winding down lifted the Dow Jones Industrial Average to a record high, its fifth positive day in a row, while the S&P 500 pulled back and the Nasdaq slipped less than 1%. Iran and Oman are nearing the final stages of drafting an agreement on commercial shipping in the Strait of Hormuz that would give Tehran more control over vessels, according to Reuters. President Donald Trump said a U.S. deal to reopen the strait “could happen” as soon as Wednesday or Thursday, extending a deadline Treasury Scott Bessent had floated a day earlier. Both Brent and WTI crude futures slipped. Fed Governor Lisa Cook said she is “prepared to act” on a rate hike, citing inflation as too high, and traders priced in a 55% chance of a hike in September. SpaceX shares sank 13.6% after capital expenditures jumped sixfold to $18.4 billion, with the majority going toward AI. Musk said SpaceX would hit $1 trillion in annual revenue by 2030 and that the company is “exclusive to Nvidia” for AI infrastructure, sending Nvidia shares up more than 3%. AMD closed 7% lower despite strong second-quarter earnings and guidance for data center growth “well over 100%.”