US Stock Market Live Updates: Wall Street futures dipped on Monday after Donald Trump announced a naval blockade of the Strait of Hormuz, following the breakdown of US-Iran discussions in Islamabad. However, losses eased as the markets stabilized. Dow futures were down by 500 points, or about 1.04%, after experiencing a drop of as much as 580 points earlier. S&P 500 and Nasdaq-100 futures also declined by 0.7% around 17:20 IST.
US Stock Market Live Updates: Wall Street opened lower on Monday after Donald Trump ordered a naval blockade of the Strait of Hormuz, following the breakdown of US-Iran negotiations in Islamabad. Losses, however, were mitigated as markets began to stabilize.
Dow Jones Industrial Average started 251 points, or 0.5%, lower. The S&P 500 and Nasdaq Composite both fell by 0.2% in early trading, indicating a cautious beginning to the week.
Nevertheless, the S&P 500 and Nasdaq Composite regained some losses and were trading in positive territory. Dow remained close to a decline of 250 points.
In a post on Truth Social, Trump stated that the US Navy would begin blocking vessels entering or leaving the strait starting at 10 a.m. ET, with assistance from other nations. This decision followed Vice President JD Vance leaving negotiations, citing Iran’s unwillingness to limit its nuclear program. Iran, in response, called for control of the strait, war reparations, and access to frozen assets.
The escalation has led to an increase in oil prices. Brent crude rose nearly 9% to around $104 per barrel before settling above $101. West Texas Intermediate surpassed $104, remaining up by over 7%–8%.
Rising oil prices have reignited fears about inflation and global economic growth. Iran warned of targeting Persian Gulf ports if its energy infrastructure is attacked, labeling the US action as “an act of piracy.”
It is important to note that last week’s ceasefire resulted in a significant rally, with the S&P 500 gaining 3.6%, the Nasdaq rising 4.7%, and the Dow increasing by 3%. The truce seems to be holding for now, despite ongoing tensions.
Attention now turns to corporate earnings. Goldman Sachs is scheduled to report on Monday, followed by JPMorgan Chase, Citigroup, Wells Fargo, Morgan Stanley, and Bank of America later this week.
