This live blog is refreshed throughout the day with the latest updates from the market. To find the latest Stock Market Today threads, click here.
Happy Wednesday. Stock futures were falling as escalating hostilities between the U.S. and Iran sent oil prices higher.
The U.S. military struck five Iranian tankers on Tuesday, sinking one, after Iran fired ballistic missiles at a U.S. Navy warship. Iran retaliated against a U.S.-used base in Jordan and said it targeted vessels attempting to cross the Strait of Hormuz.
“Houthi attacks on Saudi energy facilities have widened the threat further, raising concerns that disruption could spread beyond Iranian supply to the infrastructure and alternative routes that have helped keep Gulf crude flowing,” Daniela Hathorn, senior market analyst at Capital.com, said.
“That has brought the inflationary consequences of the conflict firmly back into focus.”
Stocks closed lower on Tuesday as higher crude prices revived concerns that the energy shock could stall disinflation and force central banks to remain restrictive.
“U.S. rate expectations have shifted accordingly, while upcoming inflation data will be particularly important in determining whether $100 oil is beginning to feed more materially into the Fed outlook,” Hathorn said.
In addition, the White House said it would ban imports of Canadian motorbikes and a slew of other products starting later this month as diplomatic and trade relations with Ottawa continue to fray, CNBC reported.
