US equities retreated from recent highs as escalating Middle East tensions
overshadowed optimism from strong quarterly earnings. The Nasdaq Composite fell
about 0.3%, the S&P 500 slipped 0.5%, and the Dow Jones Industrial Average
dropped 1.1%, shedding 564 points. Shares of logistics names including UPS and
FedEx declined after Amazon announced plans to open its freight and distribution
network to external businesses.
Oil surged on reports of Iranian strikes in the Strait of Hormuz and missile
intercepts in the UAE, with Brent crude near $114 and WTI climbing above $106.
The UAE confirmed an Abu Dhabi National Oil Company carrier and the Fujairah
petroleum export complex were targeted, while US Central Command denied Iranian
media reports of attacks on American warships. President Trump's "Project
Freedom" announcement to assist trapped cargo ships further heightens regional
uncertainty.
Investors also digest stronger-than-expected March factory orders—up 1.5% versus
0.5% estimates—driven by AI-related electronics demand, and await earnings from
semiconductor leaders Advanced Micro Devices, Arm Holdings, and Lattice
Semiconductor, alongside results from Palantir and Paramount Skydance.
