U.S. Stocks Close | Dow Jones Drops 784 Points, Previously Plunged 1,162 Points; Nasdaq Falls 0.3%; WTI Crude Surges Above $80; Brent Crude Exceeds $85

The Iran war enters its sixth day, with crude oil prices soaring. The conflict in the Middle East is rapidly spreading throughout the region, including Qatar and Bahrain. Azerbaijan also reports drone attacks by Laan. Tehran claims its navy fighter jets attacked a US oil tanker in the northern Persian Gulf.

Secretary of Iran’s Supreme National Security Council, Ali Shamkhani, posted on social media that Iran is prepared to respond to US ground actions, vowing to “humiliate those American officials at any cost.”

The escalation pushes international oil prices higher, while bond markets see a new round of selling. US bond yields rise, the Dow Jones Industrial Average once dropped over 1,162 points, closing down 784 points at 47,954; the Nasdaq once fell 1.35%, but recovered most losses to close down 0.26% at 22,748; the S&P 500 declined 0.57% to 6,830.

NYMEX crude oil rose 8.5%, the largest single-day gain in nearly six years, closing at $81.01 per barrel, a new high since July 2024; Brent crude increased 4.93%, closing at $85.41.

The US dollar index rose above 99, up 0.3%, at 99.04; US long-term bond yields rebounded to 4.14%.

Bloomberg reports that Poland’s central bank governor, Adam Glapinski, proposed selling part of the country’s gold reserves to raise about $13 billion, aiming to replace EU financing plans and strengthen defense cooperation with the US.

Spot gold in New York briefly fell 1.5% on Thursday, reaching a low of $5,062 per ounce.

Key stocks: Nvidia closed steady, up 0.16%; Microsoft rose 1.4%. Chipmaker Broadcom is optimistic about AI chip sales prospects, with shares up 4.8% against the trend.

First Eagle Investment Management states that rising risks have led insurers to refuse coverage for voyages through the Strait of Hormuz, causing shipping to halt in recent days. Continued disruptions could further drive up oil prices, severely impacting the global economy, especially China and other Asian markets heavily reliant on imports through the strait.

The firm notes that although OPEC+ agreed to increase daily production by 206,000 barrels from April, most major oil-producing countries in the alliance, except Saudi Arabia, depend heavily on exports through the Strait of Hormuz. Persistent shipping disruptions would make it difficult for increased output to alleviate supply shortages.

UK Prime Minister Keir Starmer announced that the UK will deploy four Typhoon fighters to Qatar to bolster regional defense. He also said the US has been granted permission to use UK airports for defense missions.

Richmond Fed President Thomas Barkin believes next week’s PCE data will show inflation remaining high for several months. With the ongoing US-Iran conflict likely to push up key consumer prices, persistent inflation and strong recent employment data could alter the Fed’s outlook. The Fed’s rate cuts last year were based on rising labor market risks and declining inflation risks, but recent data suggest the situation has reversed.

For the week ending February 28, initial unemployment claims remained at 213,000, below the expected 215,000; continuing claims increased by 46,000 to 1.868 million, above the forecast of 1.845 million.

Hong Kong stocks and ADR markets continue to update; details on the next page.

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Market Trends:

[23:10] Iran retaliates, expanding the Persian Gulf front, oil prices surge to post-war highs; Dow drops 496 points

[22:30] Iran conflict expands, Brent crude surpasses $84; Dow down 345 points, Nasdaq down 0.2%

[17:45] Iran states it has not blocked the Strait of Hormuz; oil prices fluctuate; Dow futures fall 120 points, Nasdaq futures down 0.1%

[13:06] Dow futures down 139 points at 48,657; S&P futures down 9 points at 6,866; Nasdaq futures down 36 points or 0.1% at 25,092

[13:03] [BTC trend] Bitcoin briefly surges past $73,000, aided by regulatory concerns and geopolitical safe-haven demand; “Crocodile King” Dario warns of major risks

[12:37] [US stock analysis] VIX drops, boosting stocks; market sentiment still cautious, oil prices within “manageable” range

[12:29] [Iran crisis] China reportedly instructs major refineries to suspend diesel and gasoline exports, halt new contracts, cancel existing freight agreements

[12:14] [Iran crisis] Natural gas prices spike; EU may reconsider Russian gas import bans

[11:48] [AI + chips] Meta plans to develop custom chips for training AI models

[11:36] [AI + defense] After being blocked by US government, Anthropic reportedly still negotiating AI agreements with the Department of Defense

[09:57] [US rate cuts] Fed Board member Milan: Iran conflict won’t change the need to cut rates; expects four cuts this year

[09:33] AI + NVDA | Jensen Huang: OpenAI to go public by year’s end; no longer considering $100 billion investment

[08:47] [AAPL] Apple launches affordable MacBook Neo starting at $4,799, with four color options and iPhone A18 Pro chip, targeting students and competing with Windows PCs and Chromebooks

[08:15] [AI + AVGO earnings] Broadcom’s AI revenue doubles; expects AI chip sales to exceed $100 billion next year; shares up 0.5% after hours

[07:52] [Layoff wave] Morgan Stanley reportedly to cut 3%, involving investment banking, trading, and asset management

[06:49] [Iran crisis] White House: Will take full control of Iranian airspace in the coming hours; Spain agrees to cooperate with US military (ongoing updates)

$1 and below for March 4 US stock market overview====

Wednesday: Dow up 238 points; Nasdaq up 1.3%; Iran denies indirect talks with US; Fed’s Milan supports continued rate cuts

US Treasury Secretary Yellen announced measures to stabilize Persian Gulf oil transportation, indicating US intent to intervene in the Strait of Hormuz, which Iran’s Revolutionary Guard has blocked. Iran denies indirect negotiations with the US.

[See US stock close for details]

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Market Trends:

[21:30] Iran crisis drags stocks down, Dow down 495 points, Nasdaq down 1.3%; Palantir up 3% against the trend

[18:10] Iran crisis causes Dow futures to fall 570 points, Nasdaq futures down 1.3%; oil surges 10%, gold above $5,400

[15:44] NYMEX crude rises 8.6% to $72.79; Brent crude drops 9.1% to $79.49

[15:28] Dow futures extend decline to 640 points, at 48,360; S&P futures down 94 points at 6,794; Nasdaq futures down 438 points or 1.8% at 24,566

[12:31] Dow futures down 369 points at 48,631; S&P futures down 50 points at 6,838; Nasdaq futures down 206 points or 0.8% at 24,798

[11:52] [Iran crisis] Franklin Henderson Investment: current oil prices reflect “limited scale and short duration” of conflict

[11:48] [Iran crisis] UAE stock market closed for two days; government announces full coverage for stranded travelers

[11:25] [Iran crisis] Middle East conflict disrupts energy markets; economists warn of increased global risks; most affected countries…

[10:50] [Iran crisis] If the Strait of Hormuz closes for a month, Goldman Sachs warns European natural gas could surge 130%, crude oil could rise by $15

[10:09] [Major banks’ views] UBS downgrades US stocks to “aligned with market”; remains optimistic on emerging markets, selects four key countries

[08:06] [Oil price trend] Iran crisis drives oil prices higher; Brent up over 8%; Strait of Hormuz shutdown

[07:50] [Gold price trend] Gold up nearly 2%, back above $5,300; silver up over 2%, at $85 amid Middle East war safe-haven rally

[07:30] [Iran crisis] Bloomberg estimates oil could rise 49%; Trump: Hamedani and three Americans dead, fighting continues until goals are achieved (ongoing)

[07:30] [Weekly outlook] Focus on geopolitical developments and US employment data; February unemployment expected to stay at 4.3%

[07:30] US stocks fell last Friday. US financial stocks plunged, with American Express down 8%, Goldman Sachs down 7%, dragging Dow down 521 points to 48,977; S&P down 0.4% to 6,878; AI stocks under pressure, Nvidia down 4%, Nasdaq down 0.9% to 22,668.

[See US stock close for details]

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Market Summary:

[Additional market updates and analysis follow, with similar detailed reports on market movements, geopolitical developments, and economic indicators.]