As tensions from the Middle East escalated and oil broke through the psychological resistance line of $100 per barrel, the three major New York stock indexes opened lower across the board.
As of 10:01 a.m. on the 9th (local time) on the New York Stock Exchange (NYSE), the Dow Jones Industrial Average was down 356.58 points, or 0.68%, at 52,429.49. The Standard & Poor's (S&P) 500 was down 21.79 points, or 0.28%, at 7,651.73, and the Nasdaq composite was down 85.51 points, or 0.32%, at 26,335.91.
Investor sentiment appeared to weaken as international oil prices surged amid escalating tensions between the United States and Iran. November delivery Brent crude futures topped $100 for the first time since July.
The United States Central Command (CENTCOM) said the previous day it destroyed five Iranian oil tankers in response to the Islamic Revolutionary Guard Corps' (IRGC) attack on U.S. naval vessels. The IRGC also issued a warning that it would expand the controlled maritime area in the Strait of Hormuz.
Peter Cardillo, chief market economist at Spartan Capital securities, said, "The biggest story today is oil, and oil is cutting the stock market's upward momentum."
By sector, energy and technology shares were strong, while consumer and financials were weak. Meta rose 4.25% on news it launched its artificial intelligence (AI) agent "Muse." Jewelry retailer Signet Jewelers surged 18.73% after its second-quarter results beat market expectations.