US Stocks Sink as Oil Prices Soar Amid Iran War Tensions
US stocks closed in the red on Thursday as surging oil prices and Treasury yields intensified concerns about inflation and economic instability. The Dow Jones Industrial Average fell by 316.56 points, or 0.6%, to 52,064.10.
The S&P 500 declined 0.58% to 7,591.70, while the Nasdaq Composite dropped 0.65% to close at 26,081.72. This marked the fourth consecutive daily decline for all three major indexes.
Oil prices continued to weigh on investor sentiment as the war between the US and Iran entered its seventh month. The West Texas Intermediate (WTI) crude benchmark rose 7.1% to $102.93 per barrel, while international benchmark Brent gained 7% to $108.28 per barrel.
The jump in oil prices pushed the yield on the 10-year US Treasury note above 4.95%, its highest since October 2023. This increase in yields fueled concerns about inflation and its potential impact on economic growth.