Wall Street Indexes Close Lower for Second Consecutive Day as Oil Prices Spike

Here is a look at the New York stock market.

The three major indexes closed lower for the second straight trading session.

While the Nasdaq and the S&P 500 posted slight losses, the Dow Jones Industrial Average fell 0.7%.

By sector, communication services, real estate, and utilities declined by around 1%.

Wall Street finished the session downward as the United States and Iran resumed military clashes around the Strait of Hormuz for the first time in a month.

With the resumption of hostilities between the two countries crushing expectations for a normalization of the Strait of Hormuz, international oil prices surged.

Brent crude surpassed 90 dollars a barrel, and West Texas Intermediate (WTI) also topped 85 dollars.

The concern is that rising energy prices will fuel inflation, directly leading to additional tightening moves by the Federal Reserve.

Amid such inflationary pressures and monetary tightening worries, the yield on the benchmark 10-year U.S. Treasury note spiked to around 4.76%, the highest level since January 2025.

As capital rushed toward bonds, the prices of gold and silver fell.

Market attention is now turning toward key economic indicators that will gauge the real economy.

The Institute for Supply Management (ISM) is scheduled to release its manufacturing purchasing managers' index (PMI) on the 1st, followed by the August employment report on the 4th.

Whether U.S. job growth has rebounded in August will be a core variable influencing the decision of the Federal Open Market Committee (FOMC) in September.

Tomorrow, on the 2nd, Dell Technologies and Palo Alto Networks are set to release their earnings reports.
※ Please note: This article was translated by AI and may contain errors.