WTI crude climbs to $73.74 amid Middle East unrest while the S&P 500 edges down 0.3% on broader tech sector weakness.
WTI crude oil advanced $2.31 to $73.74 as renewed hostilities in the Strait of Hormuz stoked supply concerns. The S&P 500 declined 0.3%, with Treasury yields rising 2 bps across the curve, signaling muted risk aversion.
Markets appear unfazed by geopolitical risks, focusing instead on sector-specific pressures. Chipmakers led declines, with Intel down 4.5% and Micron plunging 6.6%, following a rout in SK Hynix. Memory stocks and tech giants like Nvidia and Oracle also underperformed.
Analysts warn of prolonged volatility if tensions escalate into economic warfare, potentially disrupting fuel and industrial material supplies. However, current trading suggests investors expect de-escalation or limited market impact.