Wall Street Slips as Middle East Conflict Fuels Rate Uncertainty

Wall Street opened lower Friday as escalating Middle East tensions weighed on sentiment, pushing investors to reassess expectations for Federal Reserve policy moves.

The ongoing Iran conflict, now nearing its fourth week, has intensified volatility in global energy markets and heightened geopolitical risk concerns.

Investors are aggressively repricing interest-rate expectations, with uncertainty surrounding the Federal Reserve’s timeline for potential rate cuts.

Rising oil prices, driven by supply fears, have added to inflationary pressures, complicating the central bank’s policy outlook.

The Dow Jones Industrial Average slipped 45.8 points, or 0.10%, opening at 45,975.65.

The S&P 500 declined 11.8 points, or 0.18%, to 6,594.66, reflecting broad-based weakness across sectors.

Meanwhile, the Nasdaq Composite dropped 101.4 points, or 0.46%, opening at 21,989.33 amid pressure on growth and tech stocks.

Markets remain on edge as geopolitical developments and economic signals continue to shape expectations for monetary policy direction.

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