**Market Overview: S&P 500 and Dow Close at 2026 Lows**
On March 13, 2026, both the S&P 500 Index and the Dow Jones Industrial Average fell to new 2026 closing lows, with the S&P 500 dropping 1.36% and the Dow tumbled 1.63%. The Nasdaq 100 declined by 1.46%. This decline followed the Federal Reserve’s decision to maintain the benchmark interest rate between 3.5% and 3.75%, despite rising inflation and global uncertainties.
The war in Iran intensified, with Iran’s recent missile and drone attacks on neighboring countries leading to a disruption of approximately 7.5% of global oil supply, cutting it by 8 million barrels per day this month. As a result, crude oil prices experienced fluctuations, increasing by over 2% in response to geopolitical tensions. In another economic indicator, US producer prices rose by 0.7% month-over-month and 3.4% year-over-year, exceeding expectations and indicating persistent inflationary pressures.
Mortgage applications also saw a significant decline of 10.9% for the week ending March 13, 2026. The average 30-year fixed mortgage rate rose to 6.30%, up from 6.19% the previous week. This financial environment reflects ongoing challenges for markets amidst geopolitical and inflationary pressures, suggesting cautious investor sentiment moving forward.
