US Stocks Open Higher Amid Ongoing Middle East Tensions
US stocks have started the day on a positive note, with the S&P 500 rising 0.5% in early trading. The Dow Jones Industrial Average added 368 points, or 0.7%, and the Nasdaq composite rose 0.6%. Nvidia led the way after announcing it would buy AI platform Hugging Face for $13 billion.
The surge comes as oil prices continue to climb amid escalating tensions in the Middle East. Iran fired at Kuwait on Thursday in retaliation for US bombardments earlier in the week, sending global crude prices higher. The price of Brent crude has climbed 1.8% to $97.33 per barrel, while benchmark US crude rose 2.1% to $92.92 a barrel.
The renewed fighting between the US and Iran has added to existing inflationary pressures, pushing up Treasury yields. The yield on the 10-year US Treasury is up 0.94% this week, although it fell to around 4.77% early Thursday.