05:06 PM EDT, 04/06/2026 (MT Newswires) -- US equity indexes rose with crude oil futures on Monday after President Donald Trump warned of decimation for large parts of Iran if a deal to reopen the Strait of Hormuz is not reached by Tuesday.

The Nasdaq Composite rose 0.5% to 21,996.34, with the S&P 500 climbing 0.4% to 6,611.83 and the Dow Jones Industrial Average higher by 0.4% to 46,669.88. Consumer discretionary, energy, and consumer staples topped sector charts. Utilities, materials, and health care led the decliners.

Trump said Iran could be "taken out in one night," which "might" be Tuesday - a deadline he set for Iran to reopen Hormuz, CNN reported. He reiterated threats to hit all of Iran's bridges and power plants.

Trump earlier Monday called a proposal drafted by countries working to implement a 45-day ceasefire a "significant step" but "not good enough," the news report said. Iran rejected the proposal and called for a permanent end to the war, with CNN citing Iranian state-run media.

West Texas Intermediate crude oil futures rose 1.3% to $112.94, and Brent crude futures advanced 1% to $110.14.

"We continue to expect a war of limited duration and favor rebalancing in a diversified portfolio, but the main risk is a longer engagement that damages the global economy and undermines financial markets," a note from the Wells Fargo Investment Institute said.

In economic news, the Institute for Supply Management's US services index fell to 54.0 in March from 56.1 in February, compared with expectations for 54.9 in a Bloomberg-compiled poll. The index indicates a slower pace of expansion.

"Similar to the manufacturing PMI that was released last week, the details of the reports show some emerging issues related to the supply chain disruptions associated with the war in Iran, but little evidence of a material drag on activity just yet," Jefferies US Chief Economist Thomas Simons said in a note.

US Treasury yields traded mixed, with the 10-year steady at 4.34%. The two-year yield was unchanged at 3.85%.

In precious metals, gold futures were steady at $4,682.9 and silver futures rose 0.2% to $73.01.

In company news, Morgan Stanley adjusted its price target on Seagate Technology ( STX ) to $582 from $468 while maintaining its overweight rating. Shares of Seagate ( STX ) traded 5.6% higher, among the top performers on the S&P 500 and the Nasdaq.

Amazon.com ( AMZN ) -backed Anthropic is being courted by the UK government to expand its presence in London, with officials preparing proposals that could include office growth and potentially a dual listing, the Financial Times reported Sunday, citing people with knowledge of the plans. Shares of Amazon ( AMZN ) were among the Dow's top gainers.