Wall Street ends higher; oil falls

US stocks closed higher on Thursday, aided by gains in semiconductor shares and lower oil prices, despite renewed military exchanges between the US and Iran.

The Dow Jones Industrial Average rose 0.27%, or 139 points, to close at 52,487.

The S&P 500 gained 0.81%, or 60 points, to 7,543, while the Nasdaq Composite jumped 1.30%, or 336 points, to 26,206.

European shares also advanced, with the STOXX Europe 600 rising 0.78% to 640, supported by lower sovereign bond yields.

The FTSE 100 edged down 0.16% to 10,472, while Germany's DAX climbed 0.89% to 25,118. France's CAC 40 gained 0.90% to 8,326.

In Asia, Japan's Nikkei 225 rebounded 1.38% to 67,743 after three consecutive sessions of losses, while the broader Topix index added 0.35% to 4,020.

In commodities, Brent crude futures for September delivery fell 2.20%, or $1.72, to settle at $76.30 a barrel. US WTI crude futures for August delivery declined 1.96%, or $1.44, to $72.08 a barrel.

Meanwhile, gold futures for August delivery rose 1.43%, or $58.40, to settle at $4,140.80 an ounce.

Market drivers

Gains in semiconductor stocks and weaker oil prices boosted investor sentiment as hopes grew for a revival of US-Iran negotiations. However, markets continued to weigh the risks of further geopolitical escalation against the prospect of persistent inflationary pressures and prolonged monetary tightening.