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The S&P 500 index(SPX.US) rose Thursday following a report that negotiators have reached a deal to extend the Iran ceasefire, though traders remain wary.

The broader index and the NASDAQ(IXIC.US) Composite gained 0.3% and 0.2%, respectively. The two indexes hit fresh all-time highs. The Dow Jones Industrial Average(DJI.US) gained 18 points, and was little changed.

Stocks reached the highs of the sessions after Axios, citing two U.S. officials and a regional source, reported that the U.S. and Iranian negotiators agreed on a 60-day memorandum of understanding to extend the ceasefire, and further negotiations on Iran’s nuclear program. However, President Trump has yet to give the agreement his final approval, the report said.

Oil prices pulled back from their highs following the report. The West Texas Intermediate crude oil futures was little changed Thursday, above $88 a barrel, while Brent futures fell to below $95 a barrel. Both were higher earlier in the day, after Iran’s Revolutionary Guard on Thursday said that it targeted a U.S. airbase, according to the Tasnim News Agency. That comes after the U.S. military conducted new strikes in Iran against a military site.

1. Leader industry as of 5:29 pm

Comp Sftwr - Enterprise: Microsoft Corporation(MSFT.US), Palantir(PLTR.US), SAP SE ADRhedged(SAPH.US), Salesforce.com, inc.(CRM.US), Shopify, Inc. Class A(SHOP.US), ServiceNow, Inc.(NOW.US), Datadog(DDOG.US), Cloudflare(NET.US), Snowflake(SNOW.US)

Sector Logic: Comp Sftwr - Enterprise

Divergent Performance
According to the TMTB Tech Evening report (May 27) and the May 28 Tech Daily reports, the application software sector broadly remains under pressure, with multiple stocks continuing to decline following disappointing earnings. In contrast, Snowflake(SNOW.US) surged 30% driven by strong quarterly results, highlighting a sharp performance divergence between data/AI beneficiaries and the broader software space.

Cybersecurity Dynamics
Wedbush raised target prices for Palo Alto Networks, Inc.(PANW.US)and CrowdStrike(CRWD.US), stating that AI is creating "the strongest cybersecurity demand environment in 20 years". However, Zscaler, Inc.(ZS.US) declined by 25% due to a lowered FY27 revenue/ARR growth guidance and a deteriorating FCF outlook, which dragged down the broader cybersecurity sub-sector.

Execution Risks
The market is heavily penalizing forward guidance cuts and cash flow deterioration. As noted in the TMTB Tech Evening report (May 27), Zscaler, Inc.(ZS.US) fell sharply not merely on its quarterly beat but due to its conservative full-year guidance and lower-than-expected FY27 growth expectations. Conversely, Bank of America reiterated its Buy rating on Intuit Inc.(INTU.US), indicating that firms demonstrating resilient execution continue to secure institutional backing.

2. Breaking Out Today as of 5:36 pm

3. Near Breakouts as of 5:36 pm

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