US Stocks Plummet as Oil Prices Surge and Geopolitical Tensions Escalate

US stock markets declined on August 31 as investors grew cautious due to surging oil prices and escalating geopolitical tensions. The Dow Jones Industrial Average fell by 0.70% to 53,186, while the S&P 500 lost 0.33% to reach 7,686.

The Nasdaq Composite edged down 0.12% to 26,371, as heightened inflation concerns and potential interest rate hikes dampened risk appetite.

Energy stocks were among the few gainers, while basic materials and industrials saw significant losses. The 10-Year Treasury yield rose by 0.04% to 4.76%, and gold futures fell by 0.64% to $4,466.

The Federal Reserve's expected interest rate hike in September has investors on edge, as the month typically sees stocks underperform.