Stocks are reeling from a possible attack by Iran and inflation jitters

Spencer Platt/Getty Images

Energy and utility stocks were the only parts of the market higher on Friday.


New York
CNN

US stocks fell on Friday, but pulled back from the day's lows as Wall Street worried about rising tensions in the Middle East and sticky inflation.

The Dow fell 407 points, or 1.1%. The S&P 500 fell 1.3% and the Nasdaq Composite lost 1.4%.

America and Israel are alert to a potential attack by Iran or its proxies Israeli attack on Damascus Last week.

Oil prices rose on Friday on fears of an escalation in regional tensions fueled by the war in Gaza. Brent crude futures, the international benchmark for oil, rose to $90.75 a barrel, retreating after touching its highest level since October. West Texas Intermediate crude futures, the US benchmark, rose to $86.10 a barrel.

The price of the most actively traded gold futures contract rose to around $2,394 a troy ounce. The yellow metal is seen as a haven.

Concerns about geopolitical turmoil come as investors grapple with worries that persistent inflation could lead the Federal Reserve to cut interest rates later than expected after raising them to a 23-year high. Even some central bank officials have said Fare hikes are not on the tableAlthough it is unlikely, if the Fed's progress on inflation stalls.

CNN's Fear and Greed IndexA seven-barometer gauge of market sentiment remained at a “neutral” reading, retreating from the previous close of “greedy.”

JP Morgan Chase CEO Jamie Dimon warned investors While strong economic data is reassuring, geopolitical turmoil and persistent inflation remain key causes of concern. He also cited Russia's war with Ukraine as a continuing concern.

See also  Live updates, FOMC meeting, Japan corporate inflation

“If oil and gas prices go too high, that could be decisive for what happens to the global economy,” Dimon told reporters after the bank's first-quarter results on Friday morning.

JPMorgan Chase shares fell 5.4% on Friday.

Elsewhere, new data showed Americans' sentiment about the economy has weakened over the past few months as inflation remains stubborn. The A recent consumer survey from the University of Michigan A preliminary reading published Friday showed that sentiment was largely stable in April.

This story is developing and will be updated.

Leave a Reply

Your email address will not be published. Required fields are marked *