The stock market closed higher on Tuesday, with all three major indices reaching record highs, driven by a risk-on tone amid optimism over US-Iran tensions and a strong performance in the technology sector. The Nasdaq Composite led the way, surging 2.59% to 26,584.99, while the Dow Jones and S&P 500 also posted gains of 1.71% and 1.79%, respectively. The rally was broad-based, with notable contributions from companies like SpaceX, Palantir, AMD, and Marvell, which saw significant gains. The positive sentiment was further fueled by the announcement that President Trump had halted a "massive attack" on Iran, which lifted concerns about geopolitical instability.

Several factors contributed to the market's strong performance. The technology sector, which has been a key driver of recent market gains, continued to rally, with stocks like Palantir and AMD surging. Additionally, the upcoming earnings report from SpaceX, which is expected to unlock a significant number of shares, added to the optimism. Investors also took note of Jamie Dimon's bold call on the future of the stock market, suggesting that history indicates a specific move investors should make. The overall tone was one of optimism and risk-taking, with investors capitalizing on the improved geopolitical outlook and the potential for further gains in the technology sector.