Crude oil prices rise after latest US-Iran fighting, and US stocks slip

Crude oil prices jumped after the U.S. conducted retaliatory airstrikes on Iranian military sites, escalating tensions between the two nations. Brent crude oil rose 4.7% to $93.64 per barrel, while U.S. benchmark crude climbed $2.93 to $90.29, marking significant increases from late February levels. The Pentagon confirmed the strikes as retaliation for Iran’s downing of an American drone, though negotiations over reopening the Strait of Hormuz—a critical global oil transit route—continued. On Wall Street, the S&P 500 slipped 0.1% below its recent record, and the Dow Jones Industrial Average fell 166 points, while the Nasdaq remained relatively unchanged. Tech stocks outperformed, with IBM surging 10% after analysts revised upward earnings expectations, following its $1 billion government grant for a quantum chip foundry. Nvidia also rose over 2% after announcing new AI chips for laptops and desktops, set for release later this year. In Asia, markets showed strong gains, with Japan’s Nikkei 225 hitting an all-time high of 67,231.28, up 0.9%, and South Korea’s Kospi index jumping 3.7% to a record 8,788.38. Samsung Electronics led gains in South Korea, rising 10.1%, while SoftBank Group soared 14%, surpassing Toyota as Japan’s most valuable listed company. Hong Kong’s Hang Seng traded 0.9% higher, though China’s Shanghai Composite index fell 0.3%. European markets showed modest movements, with Britain’s FTSE 100 down 0.2%, France’s CAC 40 up 0.2%, and Germany’s DAX gaining 0.5%. Analysts noted that despite escalating tensions, investors remained optimistic about the Strait of Hormuz reopening, tempering broader market volatility. Meanwhile, FedEx Freight, a new spinoff, rose over 2% on its first trading day, reflecting investor confidence in logistics and tech-driven sectors.