The S&P 500 Index is down 0.50%, the Dow Jones Industrial Average is down 0.04%, and the Nasdaq 100 Index is down 0.77% amid rising oil prices and uncertainty over Iran’s diplomatic situation. WTI crude oil has increased by over 4% following reports that the Pentagon is formulating military options regarding Iran, with President Trump warning of serious consequences if Iran does not engage in discussions before the weekend.
US weekly unemployment claims rose by 5,000 to 210,000, aligning with expectations, while continuing claims fell by 32,000 to a 1.75-year low of 1.819 million. The OECD has increased its G-20 inflation forecast for 2026 from 2.8% to 4.0% due to the ongoing conflict in Iran, which is disrupting 7.5% of global oil supply and could lead to further price spikes.
As for interest rates, the 10-year T-note yield rose to 4.37%, reflecting concerns about inflation linked to the surge in oil prices. Overseas markets also declined, with the Euro Stoxx 50 down 1.36% and Japan’s Nikkei Stock 225 down 0.27%.
