US Stock Market Plunges Again Amid Middle East Crisis
The US stock market closed lower for the second consecutive session due to concerns over international oil prices and rising inflation.
Market indices saw significant losses, with the Nasdaq falling below 26,000 and the S&P 500 dropping back to the 7,500 range in just three trading sessions.
The energy sector was one of the few bright spots, gaining nearly 2% as oil prices surged due to supply disruptions in the Middle East. The WTI crude price surpassed $105 per barrel after Saudi Arabia's East-West pipeline was shut down and Libyan oil field operations were suspended due to airstrikes by Yemen's Houthi rebels.
The market is now bracing for a potential interest rate hike as inflationary pressures intensify, with expectations rising above 90% that the Federal Reserve will raise its benchmark interest rate by 0.25 percentage points at its upcoming meeting.