Commodities
S&P 500 Dips Amid Geopolitical Tensions and Rising Inflation Expectations
The S&P 500 index closed at 7,686.14 points on Monday, down 25.62 points from Friday's close of 7,711.76.
This decline marked a broad market pullback as the United States and Iran exchanged fire for the first time in roughly a month, reigniting fears of a broader escalation in the Gulf.
The news sent U.S. crude oil prices above $85 a barrel, lifting the 10-year Treasury yield to its highest level since January 2025 near 4.76%.
Higher energy costs feed directly into broader inflation expectations, which weighed heavily on risk sentiment given the market's already elevated wariness heading into the Federal Reserve's September policy meeting.