Tech cloud stocks rally to new highs despite Dow plunge and oil spike tied to Israel's war

Cloud and software stock names were the rare green on Thursday, while the wider market sank.

The WisdomTree Cloud Computing Fund (WCLD) rose 2.7%, setting up its best session since April 24, when it jumped 4.7%. Traders kept buying cloud tickers even as oil ripped and the main indexes slid hard.

The broader stock drop restarted after a one day break.Worries about the Iran war came back as U.S. crude pushed above $80 per barrel.

Oil became the center of the day. It pulled attention away from earnings and put every risk chart on edge.

Why were cloud stocks rallying today?

The strongest cloud gainers were Okta and Wix.com, each up 8.4%. MongoDB rose about 7%, and Intapp also gained about 7%. SailPoint, an identity security tech provider for cloud enterprises, added 6.5%. Zscaler rose 1.5%. Inside WCLD, two top holdings also gained: HubSpot rose 4.5%, and Paycom Software added 1.5%. The bounce hit several corners of enterprise software at once.

Even with Thursday’s pop, cloud stock performance has been rough in 2026. WCLD is down about 16.2% year to date. Traditional cloud and Software as a Service (SaaS) names have slid as traders keep talking about artificial intelligence disruption risk for incumbent software companies. That worry has weighed on the group all year, even on days when the price action turns positive.

The Dow Jones Industrial Average fell 784.67 points, down 1.61%, to 47,954.74. The S&P 500 slipped 0.56% to 6,830.71. The Nasdaq Composite dipped 0.26% to 22,748.99. The stock selling was led by Boeing and Caterpillar, plus other companies seen as vulnerable if the global economy slows.

Oil jumped after Iran said it “hit an oil tanker with a missile.” West Texas Intermediate (WTI) crude futures cleared $80 in the afternoon, the highest level since July 2024, and settled up more than 8% at $81.01 a barrel. Brent crude futures settled nearly 5% higher at $85.41 per barrel. The surge in both benchmarks fed straight into intraday volatility across equities.

The oil spike drove wild swings. The 30 stock Dow fell 1,000 points almost at the same time crude hit $80. The index sank more than 1,100 points, about 2.4%, at its low. The S&P 500 and Nasdaq also hovered near their lows after briefly trading just above flat earlier. At their lows, both were down around 1.4%.

A day earlier, oil had steadied, and that helped the Dow gain more than 200 points on Wednesday. Even so, the weekly oil run stayed huge. WTI has climbed more than 20% this week. Brent has risen almost 18%. Both are on track for their biggest weekly gains since March 2022.

Global forex pairs fluctuate as traders digest market shocks

In global fiat markets meanwhile, the Swiss franc firmed a bit versus the dollar, with USD/CHF at 0.781 and down 0.013%, while the euro slipped against the greenback, with EUR/USD at 1.16 and down 0.035%.

Sterling’s GBP/USD at 1.335 and down 0.075%. The euro was softer versus the franc too, with EUR/CHF at 0.906 and down 0.044%. On the cross side, EUR/GBP ticked up to 0.869 for a 0.02% gain, while EUR/JPY dipped to 182.82, down 0.038%.

In the Pacific pairs, the Australian dollar sat at 0.701, up 0.03%, and AUD/JPY was 110.42, up 0.01%. The yen was close to flat versus the dollar, with USD/JPY at 157.56 and down 0.006%.

The Korean won eased by a hair, with USD/KRW at 1,481.12, up 0.003%, and the Singapore dollar slipped slightly, with USD/SGD at 1.281, up 0.008%. The Indian rupee was listed as unchanged, with USD/INR at 91.757 marked UNCH. The New Zealand dollar rose, with NZD/USD at 0.59, up 0.017%, while USD/HKD was 7.819, down 0.003%.

In Europe, the dollar gained more clearly against the ruble, with USD/RUB at 78.671, up 1.02%. Versus Sweden, it was basically steady, with USD/SEK at 9.213, up 0.03%.