Stocks jump as investors weigh Trump’s comments on Iran talks amid ongoing volatility

PHILADELPHIA (WPVI) — The Dow Jones Industrial Average closed up more than 600 points Monday after President Donald Trump said “productive conversations” had taken place between the United States and Iran, offering a brief reprieve in what has been a volatile stretch for investors.

For many people trying to navigate the turbulence, the stream of headlines has added to the uncertainty. Center City resident Bo Zhao said keeping track of the news and her finances can feel overwhelming.

“There’s so much information out there. And you never know what’s right and what’s kind of noise,” Zhao said.

As the Iran war enters its fourth week, investor anxiety remains high. On Monday, Trump announced postponements of attacks on Iran’s energy infrastructure, citing what he called productive talks with Tehran. Iranian officials have denied that those talks are taking place.

Zhao said she is unsure how long the instability will last or whether she should make changes to her portfolio.

“I try to think long term,” she said. “I am thinking of moving some more money into a cash position just for the rest of the year. Just to be safe.”

Barrister Certified Financial Advisor Charles Weeks said that the approach can be reasonable if executed carefully.

“Take 20% out of the market and put it in a short-term investment vehicle,” Weeks said. “Don’t put it in cash – put it in a money market. You could earn 3-3.5% on a money market account. And that’ll at least keep up with inflation a little bit.”

Weeks said that despite Monday’s gains, uncertainty remains elevated. He is advising clients to stay grounded and maintain balance in their portfolios.

“Don’t react emotionally and overreact to anything going on in the markets,” he said. “So you have to have a solid financial plan. You have to have a solid investment policy statement, a solid portfolio that’s well diversified, and that’s your starting point.”

In addition to diversification, Weeks said it’s important for investors to protect themselves against unexpected shocks. Keeping an emergency fund – typically three to six months’ worth of expenses in cash – can provide a cushion in case there is a prolonged sell off market and oil prices remain high.