Dow Falls Over 350 Points as Markets Jitter Ahead of Trump’s Iran Deadline
Stocks fell on Tuesday, April 7, as investors grew increasingly nervous with President Donald Trump’s deadline for Iran approaching.
With the Strait of Hormuz still closed and hopes for a ceasefire fading, markets were rattled by rising geopolitical uncertainty and the potential for further escalation.
The Dow Jones Industrial Average dropped 256 points, or 0.6%, while the S&P 500 declined 0.5%. The Nasdaq fell 0.8%, underperforming the other indices due to weakness in chip stocks.
According to The Wall Street Journal, US officials said negotiators remain pessimistic about reaching an agreement before the deadline, as significant gaps still exist between the parties. However, Iranian news outlets suggest that talks are ongoing.
Rising tensions drove oil prices higher. West Texas Intermediate crude futures surged 3%, trading above $116 a barrel, while Brent crude climbed past $110 a barrel.
Among individual stocks, Broadcom rose 3% after announcing new AI-related deals with Google and Anthropic. Meanwhile, Arm Holdings fell nearly 6% following a downgrade by Morgan Stanley.
UBS also lowered its year-end S&P 500 target to 7,500 from 7,700, citing the uncertainty surrounding the US-Iran conflict.
About the Author
