Why Is The US Stock Index Hitting New Lows?

Juhi Mirza

The US Stock Index is currently projecting red, pointing towards fear as the overall market momentum turns sour. 

The primary reason why the stock market indices are projecting low metrics has been attributed to rising geopolitical tensions. The onset of war between Iran and Israel is now taking a vicious turn, with Israel conducting a counter-strike on Iran earlier today. 

Also Read: Iranian Drones Sink Asian Markets: Will US Stocks Crash Today? 

US Stock Market Struck With Panic: What’s Happening 

The rising tensions between Israel and Iran have now taken a serious turn, impacting the world economies at their core. The war conditions worsened after the latest announcement made by Israel. The nation took a pledge to attack Iran in a counter-strike, influencing global economic metrics and shaking them to the core. 

Per an update shared by Barcharts on X, the stock market fear and greed index has dropped to its lowest since November 1st. This entails that the general stock market momentum is currently infused with fear and panic, stirred by the ongoing war conditions. The tensions have prompted users to dump their stocks, expediting the decline of major stock indices. 

Oil prices skyrocketed amidst the escalating war situation between Israel and Iran.

Per new information shared by the Kobeissi Letter on X, US oil futures have skyrocketed after the news of Israel firing missiles at Iran went viral on social media platforms.

The US oil futures have risen $85/barrel after reports of counter-strikes by Israel came to light. 

“BREAKING: US oil futures surge above $85/barrel after reports of a retaliatory strike by Israel in Iran.” 

The conditions have now taken a major shift, as Iran has suspended all its flight operations to Isfahan, Shiraz, and Tehran. Responding to the news, the stock market futures are also down 2%, with conditions inching towards noting a potential decline soon. 

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“Oil prices are now up over 20% in 2024 and appear to be on track to cross $90 again. This should send gas prices above $4.00 in many US states. Geopolitical tensions are adding fuel to the inflationary fire.”