U.S. stocks fell midday, led by technology, with Brent crude oil breaking through $100, the Nasdaq falling 2.3%, and Tesla falling more than 13%
In the early morning of July 24th, Beijing time, U.S. stocks continued to decline at midday on Thursday, with technology stocks leading the decline. The escalation of conflicts in the Middle East has caused oil prices to surge, with WTI crude oil exceeding $90 and Brent crude oil exceeding the $100 per barrel mark. Investors are also evaluating Alphabet and Quarterly results from these two big companies. The Dow fell 507.76 points, or 0.97%, to 51,710.82 points; the Nasdaq fell 597.40 points, or 2.33%, to 25,093.51 points; the S&P 500 fell 96.49 points, or 1.29%, to 7,402.47 points. Oil prices put additional pressure on stocks after Yemen's Tehran-backed Houthi rebel group claimed attacks on two Saudi Arabian oil tankers in the Red Sea, heightening concerns about a wider conflict in the Middle East. Oil prices also moved higher after U.S. President Donald Trump threatened to bomb Iranian infrastructure. "From now on, whenever the Islamic Republic of Iran fires on a ship in the Strait of Hormuz, whether by missile, rocket, drone, or any other device or weapon, the United States will bomb and destroy a bridge or power plant, including any such facility located in or near the capital city of Tehran," Trump wrote in a post on his social media platform Truth Social on Thursday. Brent crude futures for July delivery rose 6% to trade above $100, while U.S. West Texas Intermediate crude futures rose 5% to trade above $91 a barrel. Brent and WTI crude are both trading at their highest levels since the United States and Iran reached a deal last month to end the war. Deutsche Bank analyst Jim Reid wrote in a report Thursday morning: "Inflation remains at the forefront of market concerns this morning, with Brent crude oil prices higher as tensions in the Middle East continue to escalate..." U.S. Treasury yields rose along with oil prices, with the 10-year Treasury yield rising to its highest level since January 2025. Reed said: "The fact that the strikes between the United States and Iran show no signs of easing, with the Houthis saying they attacked two oil tankers in the Red Sea yesterday, has heightened market concerns that the conflict is expanding. As a result, this has pushed oil prices to a 7-week high, while also fueling market speculation about more interest rate hikes." The stock market was also dragged down by a 6.5% drop in Alphabet shares after the The parent company raised its 2026 capital spending forecast to a maximum of $205 billion, citing strong demand for artificial intelligence. The upgrade comes as investors have become more cautious in recent months about spending by hyperscale companies around artificial intelligence. Tesla also fell more than 13% after the electric car maker reported second-quarter results that significantly missed expectations. The company's current operating expenses growth rate also exceeded revenue growth. Open a futures account on Sina's cooperative platform, safe, fast and guaranteed