S&P 500 Falls Amid Middle East Tensions

The S&P 500 declined 0.48% to 7,636.36 points as escalating geopolitical tensions between the United States and Iran dampened risk appetite on Wall Street. The Dow Jones dropped 0.77% to 52,380.66 units, while the Nasdaq fell 0.64% to 26,253.34 points. Investors remained cautious despite an announcement that the US Department of the Treasury would triple its debt buybacks.

Analysts at Grupo Financiero Ve por Más noted that market sentiment remained depressed following reported missile strikes between both sides. The exchanges stoked concerns over energy supplies moving through the Strait of Hormuz.

European stock indices also retreated. France's CAC 40 dropped 1.94% to 8,156.67 points, while Germany's DAX lost 1.66% to 25,576.45 points. In Mexico, the S&P/BMV IPC of the Mexican Stock Exchange decreased 0.39%, and the FTSE-BIVA of the Institutional Stock Exchange fell 0.33%.

Oil prices jumped sharply after Iran-backed Houthi militants in Yemen attacked energy facilities in Saudi Arabia ahead of winter. Brent crude rose 3.84% to $101.69 per barrel, while West Texas Intermediate climbed 4.06% to $96.81 per barrel.