US equities closed higher on Thursday, as tech strength and optimism over a potential US-Iran deal offset concerns over a hawkish Federal Reserve. The S&P 500 advanced 1% and the Nasdaq 100 gained 1.9%, while the Dow rose by 72 points. The interim peace agreement signed by the United States and Iran, which includes reopening the Strait of Hormuz, lifted optimism about an end to the conflict and helped ease concerns over volatile energy prices and inflation. Meanwhile, the Federal Reserve kept rates steady, with half of officials signaling that at least one rate increase may be warranted this year. Intel surged 10.6% after President Trump announced that the semiconductor giant would produce chips for Apple in the US. The news lifted the broader chip sector, with Nvidia rising 2.8% and Micron Technology climbing 8.5%. On the losing side, SpaceX dropped 3.5%, extending its decline for a second consecutive session after its much-hyped market debut last week.