US stocks drop as Middle East tensions rise
US stocks reversed sharply as tensions in the Middle East escalated, erasing early gains. The key factor was reports of nearly 100 US troops injured in Iranian attacks.
Oil prices were lifted, with crude oil futures settling at $82.48. This rise in oil prices, along with increased US military activity, fueled concerns of a broader conflict involving Iran.
The US dollar is mixed, while US yields are pushing to new highs. In Canada, the June CPI showed a moderate annual increase of 2.8%, suggesting easing inflation pressures.
The mixed European market close reflected traders’ cautious assessment of new UK leadership and the proposed 10-day cessation of strikes to revive the US-Iran deal.