Dow Down 200 After Air Attack Spikes Oil - InvestingChannel

Dow Down 200 After Air Attack Spikes Oil



Stocks fell sharply on Friday after the U.S. confirmed that an air strike killed Iran’s top military commander, sending oil prices surging and hiking geopolitical concerns.

The Dow Jones Industrials dwindled 200.81 points midday to 28,667.99, off their heavy lows of the morning.

The S&P 500 slipped 18.18 points to 3,239.67,

The NASDAQ dipped 57.46 points to 9,034.73.

The U.S. announced late Thursday that it had killed Iran’s top commander, Gen. Qasem Soleimani, in Baghdad in an airstrike. Soleimani had been a key figure in Iranian politics, and his death has raised concerns over a potential retaliation from the Iranian forces.

Airline stocks fell broadly on the threat of higher oil prices. United, American and Delta all dropped more than 2%.

Energy stocks proved the lone winner on Friday morning. Concho Resources and Marathon Oil rose more than 2% each while Apache jumped traded more than 1.5% higher.

A weaker-than-expected reading on the manufacturing economy also weighed on stocks. December’s Institute for Supply Management manufacturing index came in at 47.2, the weakest in a decade and smaller than the 49 reading expected by economists polled by Dow Jones.

Prices for the 10-Year U.S. Treasury spiked, dropping yields to 1.81% from Thursday’s 1.88%. Treasury prices and yields move in opposite directions.

Oil prices gained $1.49 to $62.67 U.S. a barrel.

Gold prices added $24.30 at $1,552.40 U.S. an ounce.