Geopolitical tensions erased a 268-point Dow rally, pushing major indices into negative territory by the close.
US equities surrendered early gains and closed lower as escalating Middle East tensions spurred a defensive shift. The Dow Jones Industrial Average, up 268 points intraday, ended 305 points lower at 51,846.19, a 0.58% decline. The S&P 500 and Nasdaq Composite also reversed, finishing down 0.19% and 0.05%, respectively.
All three indices opened firmly higher, with the S&P 500 and Nasdaq reaching intraday gains of 55.53 and 295.56 points. The small-cap Russell 2000, up 15.87 points early, underperformed with a 0.67% loss. Selling pressure accelerated into the afternoon, fully erasing morning advances.
Despite broad weakness, AI and semiconductor stocks bucked the trend. Credo Technology Group (CRDO) surged 4.63%, while LitePoint (LITE) and Marvell Technology (MRVL) rose 4.47% and 3.32%, respectively. Large-cap industrials weighed on the Dow, offsetting gains in tech-related names.