Today, the US stock market closed lower amidst escalating tensions between Iran and Israel. Following news that Iran launched hundreds of missiles in retaliation for an Israeli attack on its nuclear facilities, concerns grew, causing oil prices to surge. Major indices saw significant declines during the trading session, with the S&P 500 erasing all gains made earlier in the week. Uncertainty surrounding the Federal Reserve's interest rate decisions also impacted the market.
Overview
The US stock market exhibited a downward trend due to military tensions in the Middle East. The spike in oil prices has exacerbated inflation concerns, which may influence the Federal Reserve's upcoming monetary policy decisions.
| NasDaq | S&P 500 |
| Dow Jones | Won/Dollar |
Major News
Reports emerged that after Israel attacked Iran's nuclear facilities, Iran retaliated by launching hundreds of missiles. A senior Iranian official announced that they would not participate in the upcoming nuclear negotiations with the United States scheduled for this weekend. Former President Donald Trump took to social media urging Iran to return to the negotiation table, while the intensifying situation in the Middle East is linked to rising political uncertainty within the US.
The incident involving Iran has abruptly shaken the previously optimistic mood regarding risk assets, which had been buoyed by recent low inflation figures and progress in US-China trade negotiations. Experts note that the surge in oil prices could significantly influence the Federal Reserve's decisions regarding interest rates. The market is keenly watching for any updates on rate pauses and future forecasts from the Federal Reserve.
Tomorrow's Economic Indicators
| Date | Time (EST) | Economic Indicator | Forecast |
|---|---|---|---|
| June 16, 2025 | 10:30 AM | Manufacturing Output | Expected to show growth |
Overall Opinion
Today's market sustained its negative momentum due to the tensions in the Middle East. Although the economic indicators set to be released tomorrow are expected to show growth in manufacturing, the ongoing instability in the region may pose a greater impact on the markets. The Federal Reserve's response will likely be determined by oil prices, and investor concerns are expected to persist.
