U.S. Stock Market Steady Amid Uncertainty Over Iran War

NEW YORK (AP) — The U.S. stock market remained relatively stable on Tuesday as Wall Street anticipated new information regarding the potential conclusion of the war with Iran.

The S&P 500 decreased by 0.2% after experiencing significant fluctuations the previous day caused by volatile changes in the oil market. The Dow Jones Industrial Average slipped 34 points (0.1%), while the Nasdaq composite saw a slight increase of less than 0.1%.

Oil prices remained significantly lower than their highs from Monday. These fluctuations have impacted global financial markets due to fears that the ongoing conflict might disrupt the global supply of oil and natural gas.

The price of a barrel of Brent crude, the global benchmark, closed at $87.80, reflecting an 11.3% drop from the previous day’s close. Much of this decline occurred prior to the end of U.S. trading hours on Monday, which is why it did not significantly influence U.S. stocks on Tuesday.

On Monday, oil prices fell sharply from nearly $120 per barrel, a level not seen since 2022, following comments from President Donald Trump suggesting that the war might soon be over. This comment raised expectations for a swift resolution, potentially allowing for resumed oil exports from the Middle East.

However, Trump’s later remarks were less definitive, and an Iranian Revolutionary Guard spokesperson stated that “Iran will determine when the war ends.” New attacks from Iran against Israel and Gulf Arab nations maintained tension in the region.

Trump asserted the importance of keeping the Strait of Hormuz open, highlighting that blocking this crucial route, through which a significant amount of the world’s oil is transported daily, has contributed to recent oil price volatility and broader market instability.