US markets closed sharply down Friday as fears of prolonged Middle East conflict weighed on investor sentiment. The Dow fell 1.73% (−793 points) to 45,166.64, the Nasdaq dropped 2.15% (−459 points) to 20,948.36, and the S&P 500 lost 1.67% (−108 points) to 6,368.85.
Brent crude surged 5.5% to $114 per barrel, driven by disruptions in the Strait of Hormuz. Bond markets also saw selling pressure, with the US 10-year Treasury yield topping 4.48% before settling at 4.43%.
The University of Michigan’s consumer sentiment index fell to 53.3 in March, its lowest this year, while short-term inflation expectations jumped to 3.8%, the largest monthly rise since April 2025.
European markets also ended lower: Stoxx Europe 600 −0.95%, Germany’s DAX −1.38%, France’s CAC 40 −0.87%, Italy’s FTSE MIB −0.74%, Spain’s IBEX 35 −0.95%, while the UK’s FTSE 100 slipped slightly by 0.05%.
