LIVE MARKETS-US stocks at six-month low as Iran conflict keeps investors on edge

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US STOCKS AT SIX-MONTH LOW AS IRAN CONFLICT KEEPS INVESTORS ON EDGE

Wall Street's major stock indexes fell to a six-month low on Friday while the benchmark 10-year Treasury yield climbed to an eight-month high, as investors grew increasingly anxious about the widening impact of the U.S.-Israeli conflict with Iran.

U.S. Secretary of State Marco Rubio sought to ease concerns on Friday, saying Washington expects its military operation against Iran to conclude within weeks rather than months, and that U.S. objectives can be met without deploying ground troops.

But oil prices rose again, reflecting skepticism in markets that a ceasefire or near-term resolution is at hand.

Within the S&P 500, Consumer Discretionary .SPLRCD was the weakest sector while Energy .SPNY was the standout gainer, buoyed by the continued rise in crude prices. Energy scored a record close.

Caution has become a recurring theme heading into weekends, with traders reluctant to carry risk over two days of potential headline risk from the conflict. Some additional volatility was also likely tied to month-end portfolio rebalancing flows.

Indeed, amid the recent caution ahead of weekends, the S&P 500 fell for a fifth Friday in a row. The benchmark index last fell five straight Fridays in February 2025. It last fell more than five Fridays in a row with a six-week stretch of Friday losses in June 2015.

Overall, for the week, the Dow .DJI fell 0.9%, the S&P 500 lost 2.1%, and the Nasdaq Composite .IXIC tumbled 3.2%.

The SPX has now declined for five straight weeks, which is its longest weekly losing streak since a seven-week stretch of losses ending May 20, 2022.

Meanwhile, the Dow closed down 10.01% from its February 10 record close, confirming a correction, and joining the Nasdaq Composite, which is now down 12.56% from its October 29, 2025 record close, in correction territory. The S&P 500 finished down 8.74% from its January 27, 2026 record finish.

Additionally, amid the prevailing uncertainty, the Cboe Volatility Index .VIX logged its highest close since April 2025.

Here is Friday’s closing market snapshot:

(Karen Brettell, Terence Gabriel)

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