S&P 500 falls from record high on Middle East worries
By Noel Randewich and Niket Nishant
Mon May 4, 2026
Two violent incidents in the Strait of Hormuz – a South Korean ship attacked while attempting entry and a U.S. Navy vessel forced by the Iranians to turn back – demonstrated loudly that Iran was still in complete control of the vital strait. This decisively shifted sentiment back towards the war, which investors have been trying to ignore, and all three indexes fell sharply, especially the Dow with a big 3-digit loss.
The Nasdaq too had a significant 3-digit loss at its low but after the noon hour managed to recover much of the loss to close only modestly in the red. But optimism is lost and nerves are frayed again after hitting record highs all last week. The note of caution was expressed by today’s expert, “There’s not a lot of room for error, the risk is still to the downside, even if it’s maybe not the most probable outcome that we get back into a hot war.” Uncertainty has risen reflected in volume still below well below the 17.7 average, closing today at 16.3 billion.
DJ: 49,499.27 -152 87 NAS: 25,114.44
+222.13 S&P: 7,230.12
+21.11 5/1
DJ: 48,941.90 -557.37 NAS: 25,067.80
-46.64 S&P: 7,200.75
-29.37 5/4
No comments:
Post a Comment