US stocks close lower as tighter financial conditions worry investors
US indices finished lower as tighter financial conditions raised concerns for growth. S&P 500 fell 0.7%, Dow lost 419 points, and Nasdaq 100 dropped 1.3%; tech led declines.
US stock indices closed lower on Tuesday on growing concerns that tighter financial conditions could weigh on economic growth.
The S&P 500 fell 0.7%, the Dow lost 419 points and the Nasdaq 100 dropped 1.3%.
US-Iran strikes in the Persian Gulf prolonged the suspension of energy exports from the region and heightened global inflation risks, reinforcing expectations that major central banks could resume rate hikes this year.
Meanwhile, soaring in AI-related corporate debt issuance added to credit supply and pushed yields higher.
Tech stocks led losses, with Micron down 2.6%, AMD falling 2.4%, Oracle and Palo Alto Networks each losing 5.2%, and Dell dropping 6.8%.
Nvidia fell 1.5% despite a $35 billion computing deal between Lambda and Anthropic.
Asset managers also declined, with Blackstone down 4.6% and KKR falling 3.1%.