US stock indices surged by over 1% today on optimisim that the Iran-Israel conflict could be contained.

US President Trump expressed hope that both sides reach a ceasefire, but added that countries sometimes need to "fight it out" first, and asserted continuous US support for Israel.

German Chancellor Friedrich Merz expressed hopes that G7 leaders meeting currently in Canada could reach an agreement to contain the conflict.

Iranian officials told western media that their country can't negotiate a ceasefire if Israel continues its attacks.

Investors also digested disappointing manufacturing data released earlier today ahead of the Fed's policy decision tomorrow.

The markets fully expect the Fed to maintain interest rates unchanged.

On trading, Dow Jones rose 1.1% to 42,640 points, while SP 500 rallied also 1.1%, as NASDAQ added 1.3%.