Stock market today: Dow sinks 950 points, S&P 500, Nasdaq plummet as inflation heats up, US-Iran tensions reignite
Stocks were poised to open lower as oil prices rose on the latest escalation in the war in the Middle East. On Wednesday morning, after the US and Iran clashed overnight, President Trump criticized the Iranian regime for dragging out negotiations and said they will “have to pay the price.”
“They’ve taken too long to negotiate a deal that would have been great for them, now they will have to pay the price!!!” Trump stated on Truth Social.
Brent oil prices (BZ=F) rose nearly 2% to $93 per barrel, while WTI hovered just below $90 per barrel. Dow futures were down 0.9%, while futures on the S&P 500 fell 1% and those on the Nasdaq tumbled 1.5%.
Trump’s comments come after the US launched a series of airstrikes within Iran on Tuesday, targeting “air defense, ground control stations, and surveillance radar sites,” US Central Command said. Iran acknowledged strikes around the city of Bandar Abbas and Qeshm Island inside the Strait of Hormuz, but gave no details on the damage.
“The operation was a proportional response to recent attacks on U.S. forces and international commercial ships transiting regional waters,” Central Command said, referencing the downed US Army helicopter that the US has attributed to an Iranian drone.
Jordan, Bahrain, and Kuwait all acknowledged attacks within their borders in the hours after the US airstrikes, per Reuters, further threatening to destabilize the delicate peace negotiations between Washington and Tehran. Iran claimed the strikes on the three Gulf nations.
