- US stocks slide as oil spikes past $100 and Middle East tensions stoke investor anxiety.
- Treasury yields near 5% pressure growth stocks, while inflation fears hit consumer spending.
- Bitcoin and crypto rebound as energy policies and oil supply releases calm markets slightly.
The US stock market has taken a sharp hit on Thursday, with major indexes falling across the board. The Dow Jones, S&P 500, and Nasdaq dropped as investors reacted to oil prices climbing past $100, US Treasury yields creeping toward 5%, and rising tensions in the Middle East involving Iran.
By the close of trading, the Dow Jones stood at 46,932.79, down 484 points (-1.10%), the S&P 500 fell to 6,699, losing 76.80 points (-1.13%), and the Nasdaq slid to 22,389.35, dropping 325 points (-1.44%).
Middle East Strikes Send Oil Prices Soaring
Energy markets added more turbulence. West Texas Intermediate crude jumped almost 9% to $95.52, and Brent crude climbed to $96.14, even briefly crossing $100 a barrel. The spike came after Iran stepped up attacks on energy facilities in the Middle East, including strikes on tankers near Iraq.
In response, Iraq temporarily closed some oil ports, disrupting global supply. Iranian leaders warned that oil prices could soar to $200 per barrel if tensions continue. They also threatened to keep the Strait of Hormuz shut, a key shipping route that handles nearly one-fifth of the world’s oil.
Related: Why Wall Street Is Paying Attention to XRP? A Brief On Market Sentiments
Treasury Yields and Inflation Pressure Markets
Rising oil prices have increased inflation expectations, raising corporate costs and squeezing consumer spending. At the same time, the 30-year Treasury yield climbed to 4.87%, inching toward the psychologically critical 5% mark.
Such yields historically trigger stock sell-offs. Technology and growth stocks faced the biggest pressure due to sensitivity to inflation and interest rates. Additionally, investors monitor the Federal Reserve’s next rate decision, further intensifying uncertainty.
Crypto Rebounds Amid Policy Signals
The crypto market bounced back today after Bitcoin briefly fell below $70,000. According to CoinMarketCap, the total crypto market is now valued at $2.37 trillion, with Bitcoin trading around $70,400.
Related: Crypto Traders Shift to Oil Perpetuals on Hyperliquid as Iran Tensions Drive Volatility
White House Press Secretary Karoline Leavitt said the administration is thinking about temporarily waiving the Jones Act. This step could help keep energy and agricultural shipments moving smoothly, which in turn supports crypto market stability.
Additionally, IEA member countries agreed to release 400 million barrels of oil to ease global supply pressures. However, worries about ongoing tensions in the Middle East continue to make investors nervous, with analysts estimating a 70% chance that a U.S.-Iran conflict could last until May.
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Source: https://coinedition.com/wall-street-tumbles-dow-sp-500-nasdaq-slip-while-crypto-rebounds/
