Updated
Updated · CNBC · Jun 2
Dow Drops 403 Points as Oil Nears $95 and 10-Year Yield Approaches 4.5%
Updated
Updated · CNBC · Jun 2

Dow Drops 403 Points as Oil Nears $95 and 10-Year Yield Approaches 4.5%

1 articles · Updated · CNBC · Jun 2

Summary

  • The Dow slid 403 points, or 0.8%, on Wednesday after record closes a day earlier, while the S&P 500 fell 0.4% and the Nasdaq lost 0.5%.
  • WTI crude rose 1% to about $95 a barrel and Brent climbed to roughly $97 after new U.S. and Iran strikes, stoking fears that higher energy costs could keep inflation elevated.
  • Treasury yields also climbed, with the 10-year nearing 4.5% and the 30-year approaching 5%, after a strong May ADP report added pressure on rate expectations.
  • AI-linked shares deepened the pullback: Nvidia fell more than 2%, Microsoft lost 2%, and Dell and Oracle dropped 5.5%.

Insights

With geopolitical shocks rattling markets, has the AI investment boom finally met its match?
Caught between an oil shock and inflation, can the Federal Reserve prevent economic stagflation?
As Iran tightens its grip on the world's energy 'cork', is a global recession now inevitable?