Markets today:
- At 9:32 a.m. ET, the S&P/TSX composite index was down 1.1 per cent at 33,234.88 points.
- The Canadian dollar strengthened against the greenback on Friday, and the yield on benchmark government debt climbed. The loonie was trading 0.2 per cent higher at $1.3648 to the greenback, or 73.27 U.S. cents, after trading in a range of $1.3629 to $1.3679.
- The Dow Jones Industrial Average fell 320.2 points, or 0.67 per cent, at the open to 47,634.55. The S&P 500 fell 61.7 points, or 0.90 per cent, at the open to 6,769.03, while the Nasdaq Composite dropped 327.8 points, or 1.44 per cent, to 22,421.172 at the opening bell.
- U.S. 10-year Treasury yields rose 3 bps on Friday to 4.173 per cent and were on track for a weekly increase of 21 basis points, the largest move since April 2025.
- Europe’s STOXX 600 index dropped 1.04 per cent in choppy trading, undoing an earlier rise of almost 0.5 per cent as oil prices appeared to stabilize.
- Brent extended its rally, rising US$3.80, or 4.45 per cent, to US$89.21 per barrel. WTI rose US$5.12, or 6.32 per cent, to US$86.13. Both benchmarks traded at their highest levels since 2024
03/06/26 10:15
Algonquin Power shares dive on reduced guidance
– Darcy Keith
Those long-suffering shareholders in Algonquin Power & Utilities Corp. (AQN-T) aren’t getting much relief this morning.
The stock opened down more than 10 per cent after the company trimmed its 2027 guidance while reporting mildly disappointing fourth quarter results.
The company now expects 2027 earnings per share of 38-42 cents – a reduction from the previous guidance range of 42-46 cents. Algonquin cited an increase in its expected effective tax rate, now seen in the mid-to-high twenties instead of the previously anticipated mid-to-low twenties.
The company said it continues to evaluate multiple tax strategies for optimization of the effective tax rate, but that the majority of benefits are expected to be realized after 2027.
Fourth quarter EPS was 4 cents, a penny below consensus.
03/06/26 10:05
How investors can benefit from the super-cycle in optical connectivity
– Scott Barlow
BofA Securities analyst Tal Liani advises clients on how to benefit from optical connectivity super cycle,
“Ahead of the 2026 OFC conference, we outline below our growth expectations for the optical transport market, upcoming spending cycle for scale-across and data center interconnect buildouts, and highlight Ciena and Cisco as key beneficiaries. We recently turned the dial more cautiously on spending, following a strong 2025 cycle. We now realize we were too early to call a slowdown, with three drivers fueling the current super cycle: requirement for additional bandwidth in existing non-AI data centers (see Microsoft front-end purchases from Arista), massive new data center buildout activity slated for 2026-2028, and lastly, new scale-across architectures that result in new demand for optical interconnect. We therefore expect the total optical transport market to grow over 10 per cent in 2026 and 2027, with ZR/ZR+ pluggables growing 30 per cent per annum on average”
ZR and ZR+ are modules usually at the edge of networks that transport large amounts of data over long distances, between networks.
03/06/26 09:59
Robinhood’s $658-million private markets fund for retail investors goes public
Robinhood (HOOD-Q) debuted its flagship US$658.4-million venture fund on the New York Stock Exchange on Friday, offering retail investors a rare chance to invest in high-profile, privately held technology companies.
Private company investments have long been the playground of Silicon Valley’s biggest venture capital firms, with retail investors largely shut out of the booming market where valuations have surged in recent years.
The fund, which began trading under the ticker ‘RVI’, has investments in prominent private companies, including software startup Databricks, fintech Ramp and financial services firm Revolut.
“There is a big gap in the market where the retail customer cannot access private assets,” Robinhood CFO Shiv Verma told Reuters in an interview.
Some private companies now command valuations that rival or exceed the market capitalization of companies in the S&P 500. Databricks raised capital at a US$134-billion valuation in February, while Ramp was valued at US$32-billion in November.
The fund carries risks, including fluctuations in private company valuations, though these are not unique to it, analysts say. The broader venture capital exit market has also been turbulent in recent years as IPO activity slowed.
– Reuters
03/06/26 09:39
North American stock markets slide in early trading
Canada’s main stock index opened lower on Friday as a surge in oil prices following the Middle East conflict fanned fears of a spike in inflation.
At 9:32 a.m. ET, the S&P/TSX composite index was down 1.1 per cent at 33,234.88 points.
Wall Street’s main indexes also slid as data showed the economy unexpectedly shed jobs in February.
The Dow Jones Industrial Average fell 320.2 points, or 0.67 per cent, at the open to 47,634.55. The S&P 500 fell 61.7 points, or 0.90 per cent, at the open to 6,769.03, while the Nasdaq Composite dropped 327.8 points, or 1.44 per cent, to 22,421.172 at the opening bell
– Reuters
03/06/26 09:09
Markets aren’t all that fearful yet of the Middle East crisis
– Darcy Keith
Wall Street’s so-called fear gauge, the Volatility Index (VIX), has been edging up throughout this week but is still far from signaling market panic – or even that we’re facing a major crisis.
It was just shy of 28 ahead of markets opening this morning, which compares to near the 20 mark late last week before the U.S. strike on Iran.
Consider this: it reached almost double today’s figure during Donald Trump’s presentation of Liberation Day tariffs last November.
Traders often use the VIX as an indicator for when the capitulation stage is reached – that point of maximum pessimism that may signal a market bottom.
Economist David Rosenberg, in his Breakfast with Dave newsletter this morning, looked back to what type of VIX levels were reached during past moments of crisis. We’re nowhere close.
“If you are ever trying to time the bottom of the stock market at any time amidst a true crisis, just rely on the VIX. In the past 19 crises since 1990, the capitulation/washed-out buying opportunity took hold when the VIX hit 44, on average. Strip out the extremes of the GFC and COVID-19, and the average is still close to 40.
So, if you are waiting for maximum fear, blood on the street, to kick in, we have a long way to go yet, seeing as this risk metric, despite the war with Iran and all the complications from the shuttering of the Strait of Hormuz, closed yesterday south of 24.
Basically, the market is treating what we have on our hands today, which is a bona fide existential moment, as nothing different than the Brexit vote in the summer of 2016. The bull market is as it has been — in acute complacency.
Peak VIX in Prior Crises
• August 1990 — Iraq War I: 36
• January 1991 — Recession Deepens: 36
• October 1997 — Asian Financial Crisis: 38
• September 1998 — LTCM: 45
• September 2001 — Terrorist Attacks: 44
• July 2002 — Enron/Worldcom: 45
• October 2008 — GFC: 80
• May 2010 — Greek Crisis: 46
• August 2011 — U.S. Credit Downgrade: 48
• August 2015 — China Capital Flight: 41
• June 2016 — Brexit: 26
• February 2018 — Fed Tightening: 37
• December 2018 — Credit Freeze: 36
• March 2020 — COVID-19: 83
• October 2020 — Pandemic Variants: 40
• March 2022 — Russian Invasion: 36
• March 2023 — Regional Banks: 27
• August 2024 — End of Carry Trade: 39
• April 2025 — Liberation Day: 52”
03/06/26 08:53
U.S. nonfarm payrolls decline in February; unemployment rate rises to 4.4 per cent
The U.S. economy unexpectedly shed jobs in February amid a strike by healthcare workers and harsh winter weather, while the unemployment rate increased to 4.4 per cent.
Nonfarm payrolls decreased by 92,000 jobs last month after a downwardly revised 126,000 increase in January, the Labor Department’s Bureau of Labor Statistics said in its closely watched employment report on Friday. Economists polled by Reuters had forecast payrolls advancing by 59,000 jobs after increasing by a previously reported 130,000 in January.
Estimates ranged from a loss of 9,000 jobs to an increase of 125,000 positions. In addition to the strike by 31,000 healthcare workers at Kaiser Permanente and inclement weather, last month’s decline in employment was also payback after January’s hefty gains.
Economists said jobs gains in January had been boosted by an update of the birth-and-death model, which the BLS uses to estimate how many jobs were gained or lost because of companies opening or closing in a given month. The strike in California and Hawaii has since ended.
– Reuters
03/06/26 08:45
Canadian energy equipment provider pauses dividend due to Middle East crisis, shares plunge
– Darcy Keith
McCoy Global Inc. (MCB-T), which provides equipment and technologies to the energy sector, said this morning it was pausing its quarterly dividend as a direct result of the ongoing conflict in the Middle East. The stock is down 20 per cent in early trading.
“Recent geopolitical developments in the Middle East have introduced an additional layer of near‑term uncertainty,” Jim Rakiviech, McCoy’s president and CEO, said in a release. “With more than two‑thirds of our year‑end backlog destined for this region, ongoing shipping suspensions and restricted port access may delay certain deliveries and temporarily defer associated revenue and cash receipts. Importantly, underlying customer demand remains intact, but timing may create near‑term pressure on operating cash flow and working capital.”
The $84-million market cap company this morning reported fourth quarter 2025 total revenue of $25.6-million, slightly higher than $25.2-million a year earlier. Net earnings of $6.1-million compared to net earnings of $4.3-million in 2024.
03/06/26 08:13
Marvell Tech shares rally on forecast for AI-chip growth
Marvell Technology’s (MRVL-Q) shares surged nearly 12 per cent before the opening bell on Friday as investors bet on demand for its AI-focused custom chips and interconnect technologies following an upbeat long-term forecast.
AI-chip spending has accelerated industry-wide. Broadcom , a key supplier of custom accelerators and networking silicon, this week projected more than US$100-billion in AI chip sales next year, underscoring demand widening beyond Nvidia and deepening hyperscaler build-outs.
Analysts at Citigroup said Broadcom is focused on scale-out co-packaged optics (CPO), while Marvell is working with hyperscalers on scale-up CPO designs, a stance they said could lift Marvell’s role in next-gen AI clusters.
Marvell said fiscal 2028 revenue will rise nearly 40 per cent to about US$15-billion, topping the US$12.92-billion LSEG consensus. It also lifted its fiscal 2027 view to 30-per-cent-plus growth, nearing US$11-billion.
Analysts say Marvell is set for a strong run in its data-centre business, on rising demand for its optical DSP chips that power high-speed links inside AI servers and a multiyear ramp-up in custom AI processors tracking ahead of earlier expectations.
Marvell trades at a 12-month forward price-to-earnings ratio of 19.99, below Broadcom’s 25.31, LSEG data showed.
– Reuters
03/06/26 08:06
U.S. dollar set for steepest weekly gain in over a year as Iran war fuels safe-haven demand
The U.S. dollar edged higher on Friday and was set for its steepest weekly gain in more than a year as the escalating conflict in the Middle East drove demand for safe-haven assets.
The euro and yen remained on the back foot as the crisis drove oil prices ever higher, spurring inflation risks in economies dependent on energy imports and upending policy expectations for the Federal Reserve and other central banks.
Lee Hardman, senior currency analyst at MUFG, said that the dollar was expected to strengthen further near-term.
“The key driver will ultimately be the scale of the energy price shock. Obviously, if we were to see oil prices continue to jump higher and remain higher for longer, then that would be the most supportive outcome for a stronger dollar.”
“Whereas if the conflict started to show signs of kind of petering out, then oil prices started to drop back, then in that scenario, we could see a quicker reversal of the dollar strength we’ve seen,” Hardman said.
The dollar index, which measures the greenback against a basket of currencies, was trading 0.29 per cent higher at 99.334, on course for a 1.7-per-cent gain this week that would be the most since September 2024.
The euro was last down 0.4 per cent on the day at $1.1564 and set for an around 2.1 per cent slide this week, its biggest since September 2022. The yen fell roughly 0.2 per cent to 157.86 per dollar, while sterling eased 0.16 per cent to $1.3331.
– Reuters
03/06/26 07:52
Trade ideas for a short and long Iranian conflict
– Scott Barlow
BofA Securities investment strategist Michael Hartnett’s punchy weekly report The Flow Show forecasted the market winners in both a short Iranian conflict and a longer one,
“The Biggest Picture: U.S. politics says March de-escalation of Iran war; Trump approval on economy (40 per cent) & inflation (36 per cent) back at lows, must reverse 45-per-cent jump in U.S. oil prices, 15-per-cent jump in gasoline prices; but recovery in Trump approval for midterms needed for Q2 upside… bulls want ‘populist capitalism’ not ‘populist socialism’. Tale of the Tape: de-escalation (+ Trump-Xi trade deal) = sell oil $90/bbl, sell US$ >100 DXY [U.S. trade-weighted dollar index] , buy 30-year UST at 5 per cent + risk troughs March; no new equity highs without bear positioning, policy panic to reverse peak liquidity; but short war renews bid for inflation boom beneficiaries… commodities, EM, small cap as US$ bear resumes”.
03/06/26 07:38
Markets ‘dangerously underestimating the resolve of the Iranian regime,’ says Jefferies strategist
– Scott Barlow
Jefferies strategist Christopher Woods’s influential Greed and Fear report offered some relevant opinions on global markets for investors to consider,
“There has also been an initial assumption that the conflict will not last long (i.e. days not weeks or months). This dangerously underestimates the resolve of an Iranian regime which faces an existential crisis. For now Tehran has been doing what it said it would do if attacked, namely attack US missile bases in the region regardless of the surrounding collateral damage … GREED & fear continues to view the unwind of the AI trade in the US, and the related collateral damage for private equity and private credit, as the biggest risk facing equity markets in coming months, though clearly higher energy prices will not help. Meanwhile these negative catalysts have also increased the likelihood of GREED & fear’s base case; namely that the American stock market reached an all-time peak as a percentage of world stock market capitalization on 24 December 2024 and that the MSCI AC World ex-USA Index has commenced a long-term trend of outperformance”
03/06/26 07:36
‘Blast radius’ of effects from Iran continue to expand in global energy sector
– Scott Barlow
RBC Capital Markets commodity strategist Christopher Louney reports that the “blast radius” of the Iranian conflict continues to expand,
“Geopolitics: Blast Radius. The radius of Iranian attacks continues to expand, highlighting the challenges Washington will have in ensuring the security of regional energy flows. In recent days, Kurdish oil facilities have come under drone fire, as well as tankers near Kuwait and Bahrain struck, illustrating the rising risk profile beyond vessels traversing the narrow S-curve of the Strait. In addition to the attacks on tankers, several refineries both in the region and in APAC have seen their operations curtailed in connection with the conflict. Multiple major refineries in Kuwait … have lowered rates in a broad reduction of activity, while other Middle Eastern and Asian refineries have taken similar action (such as India’s Mangalore refinery). Saudi Arabia’s Ras Tanura has also been reportedly offline following this week’s drone strikes in the … region. We also continue to eye crude storage levels in the region, as further shut-ins are likely from Iraq (which has already shut in nearly 1.5 mb/d from its West Qurna 2, Rumalia, and Maysan oilfields) and the risk of similar action from other producers will rise as the conflict drags on … While reports from Reuters now suggest it could take weeks for Qatar LNG to restart, there is no derisking infrastructure for these volumes and global markets will continue to bear the burden when importers bid up cargoes.”
03/06/26 07:35
Scotiabank strategist pounds the table on Boyd Group
– Scott Barlow
Scotiabank strategists don’t usually pound the table for individual stocks, so Jean-Michel Gauthier’s report on Boyd Group Services Inc. (BYD-T) is notable,
“We reiterate our buy thesis on Boyd Group (BYD), highlighting positive potential from a quant, index, and fundamental standpoint. On a fundamental basis, BYD remains one of our top picks into 4Q and 2026. We see clear catalysts for a reacceleration of SSSG [same store sales growth] back within the historical 3-per-cent to 5-per-cent range and upside to estimates on front-loading of JHCC synergies, which would support a re-rate from current levels 15 per cent below historicals. Further, we believe deserves a premium in this environment given little risk of AI disruption, in our view. BYD reports 4Q25 results on March 18. On the quant side, BYD seems poised to escape the Bottom 30 list of our SQoRE Canada model. A more positive revision outlook should push Growth metrics higher. Momentum on SSSG at the Q4/25 release could create the breakout required for a quant lift off. On the index side, BYD recent US listing brings the optionality of entering US indices. Moving its HQ to the U.S. would lead to Russell indexers buying 4.1 million shares (135 times ADV on U.S. volume only, 35 times on Canadian volume). This could create a solid tailwind for the name. We also highlight a full U.S. reincorporation scenario aimed at an S&P 600 addition (far down the road”
03/06/26 06:50
Bank stock valuations are rich. Here’s why that might not be a problem
– David Berman
Office and bank towers in Toronto’s Financial District are seen from the 40th floor offices of mining company BHP on Mar 4, 2026.Fred Lum/The Globe and Mail
Perhaps we should get used to expensive bank stocks.
The shares of Canadian lenders ripped higher after October, 2023, when widespread concerns about the impact of inflation and rising interest rates began to subside. Bank stocks have more than doubled since then, on average.
That’s unusual for lumbering, regulated behemoths. While the sector tends to outperform the S&P/TSX Composite Index over the long term by a slim margin, it has beaten the index by an overwhelming 30 percentage points over the past two-and-a-half years.
Normally, big gains aren’t worth complaining about.
But the rally has pushed valuations to levels that are now well above long-term averages. And these elevated valuations raise questions about whether the sector could hit an air pocket if the sputtering Canadian economy gets worse or a protracted Middle East conflict drives up global inflation.
Over the past week, bank stocks have not been immune to the broader market turmoil.
Read more: Here
03/06/26 06:50
Friday’s analyst upgrades and downgrades
– David Leeder
With its new debt falling below $16-billion exiting 2026, TD Cowen analyst Menno Hulshof emphasizes Canadian Natural Resources Ltd. (CNQ-T) now sits “on the 75-per-cent return of free cash flow bubble” as laid out by the Calgary-based company.
“When asked about the impact of the $765-million Peace River acquisition [from Tourmaline Oil Corp.] and whether that meant 75-per-cet returns were already in play today, management indicated that it expected ‘slightly higher and slightly lower” ND over Q1/Q2 – we suspect it could get to 75 per cent sooner than later given the very material rally in spot oil prices,” he said in a client report.
Read more: Here
Other companies mentioned include: Aecon; AirBoss; Automotive Properties; A&W; Dollarama; Headwater Exploration; InPlay Oil; Lassonde; Lumine Group; Maple Leaf Foods; Martinrea; NexGen Energy; Savaria; Spin Master; Tecsys; Tourmaline; Yangarra
03/06/26 06:18
World’s big bond markets left battered and bruised after week of war in Middle East
The world’s biggest bond markets were set to end the week nursing heavy losses as concerns that war in the Middle East will renew upward pressure on inflation and force central banks to start hiking interest rates soon.
Two-year government bonds, the most sensitive to shifting rate expectations, are feeling the most pain.
Yields on Britain’s two-year bond or gilt have risen almost 40 basis points (bps) this week, set for the biggest one-week jump since August 2024.
On Friday, UK borrowing costs hit the highest level since October, while Germany two-year yields hit their highest in a year and were poised for the biggest weekly jump since April 2023.
Traders have ramped up bets that the European Central Bank may hike rates as early as May as energy costs have surged, potentially exacerbating price pressures on other goods and services from food to travel.
“However the conflict is resolved, it has already undermined our previous assumption that energy prices would remain low and stable this year,” said Berenberg chief economist Holger Schmieding.
Brent crude oil was headed for the sharpest weekly gain since Russia launched its full-scale invasion of Ukraine in February 2022.
Brent crude futures have surged roughly 17 per cent this week.
The deepest pool of bonds, U.S. Treasuries, have seen two-year yields have jump 25 bps this week, set for the biggest weekly jump since last April’s tariff turmoil. The moves have been global: Australia’s borrowing costs have risen almost 20 bps.
– Reuters
03/06/26 06:16
U.S. equity funds see biggest outflows in eight weeks on geopolitical worries
U.S. equity funds witnessed the sharpest weekly net sales in eight weeks in the seven days to March 4 as investors cut risk exposure amid concerns over the U.S.-Israeli conflict with Iran and its potential impact on inflation and the interest-rate outlook.
Investors divested a net US$21.92-billion of U.S. equity funds during the week in their largest weekly net sales since January 7, data from LSEG Lipper showed.
As the conflict in the Middle East entered its seventh day on Friday, oil prices were on track for the biggest weekly gains since early 2022, fanning worries of inflation, potentially delaying rate cuts by the U.S. Federal Reserve.
U.S. growth funds suffered US$11.15-billion worth of outflows, the biggest for a week since December 17, 2025. Investors still bought US$146-million worth of value funds, logging a fourth weekly net purchase.
Sectoral funds, meanwhile, saw weekly inflows of US$1.2-billion as investors snapped up industrials, utilities, and metals and mining sector funds of US$1.65-billion, US$671-million and US$582-million, respectively.
– Reuters
03/06/26 05:54
Wall Street futures slip as Middle East conflict rages on; jobs data in focus
People walk by the New York Stock Exchange (NYSE) on March 5.Spencer Platt/Getty Images
U.S. stock index futures slipped on Friday as the conflict raging in the Middle East threatened to fuel inflation through higher energy costs, and investors awaited a pivotal jobs report.
The U.S.-Israel air campaign against Iran was nearing a week with no end in sight. Oil prices have surged the most this week since Russia’s 2022 invasion of Ukraine as shipping through the strategic Strait of Hormuz ground to a halt.
Natural gas producer Qatar said even if the Middle East war ended immediately, it would take “weeks to months” to return to a normal cycle of deliveries, according to a report.
Crude prices edged higher and sent airlines American and Delta 1 per cent lower in premarket trading. The S&P 500’s passenger airlines subindex is on track for a 9 per centweekly drop.
A weekly jobs report is high on the radar for investors who are also watching out for the impact artificial intelligence integration by corporates could have on employment. The report is due at 8:30 a.m. ET.
Overall stronger-than-expected data this week and a spike in crude prices have pushed back expectations for a 25-basis-point interest rate cut by the Federal Reserve to October from July last month, according to LSEG-compiled data.
At 05:14 a.m. ET, Dow E-minis were down 130 points, or 0.27 per cent, S&P 500 E-minis were down 23 points, or 0.34 per cent. Nasdaq 100 E-minis were down 102.5 points, or 0.41 per cent.
AI-chip stocks Nvidia and Advanced Micro Devices were down about 0.7 per cent each. U.S. officials are debating a new regulatory framework for exporting artificial intelligence chips, although the rules were not final.
Despite the gloomy mood, U.S. stocks have fared better than their Asian and European counterparts this week, upheld by a 1.5 per cent rebound in technology stocks from February’s losses. The tech-heavy Nasdaq is on track for small weekly gains. Marvell Technology jumped 12 per cent after the chip company forecast fiscal 2028 revenue above estimates.
Also supporting sentiment, the United States is perceived to be better shielded from energy shocks as it is a net exporter of oil.
– Reuters
03/06/26 05:30
Before the Bell: What every Canadian investor needs to know today
– S.R. Slobodian
Global markets were mixed as equities remained on track for their steepest weekly drop in a year with the conflict in the Middle East showed few signs of easing.
Wall Street futures were in the red after major North American markets closed down yesterday.
TSX futures followed sentiment lower.
In Canada, investors are getting results from Algonquin Power & Utilities Corp. and AltaGas Ltd.
The “combination of rising energy prices, more hawkish central bank expectations, higher yields and weaker appetite for risk assets will likely remain in play as long as Middle East tensions have a lasting impact on oil and gas prices,” Ipek Ozkardeskaya, senior analyst at Swissquote, wrote in a note.
Read more: Here
03/06/26 04:50
Oil set for steepest weekly gain since Russia’s 2022 invasion of Ukraine
Crude oil headed for the sharpest weekly gain since Russia launched its full-scale invasion of Ukraine in February 2022, even as prices eased slightly on Friday after Washington issued waivers for Russian oil purchases to ease supply constraints.
Brent crude futures have surged 17.2 per cent this week, while West Texas Intermediate has jumped 20 per cent.
Those gains dwarf the ground given up on Friday, with Brent down 53 cents, or 0.6 per cent, to USUS$84.88 per barrel and WTI off 61 cents, or 0.8 per cent, to USUS$60.40.
Oil started its aggressive rally after the U.S. and Israel launched strikes on Iran on Saturday, with Iran then halting tankers moving through the Strait of Hormuz, which handles roughly one-fifth of the world’s daily oil supply.
The conflict has since spread across the Middle East’s key energy-producing areas, causing disruptions to oil output and the shutdowns of refineries and liquefied natural gas plants.
“With every passing day, halted activities in Hormuz will have two major impacts on oil: the inability to store 20 million barrels per day and the lack of flow to the world, which could drive global energy prices higher,” said Priyanka Sachdeva, senior market analyst at Phillip Nova.
– Reuters
03/06/26 04:45
Global stocks perk up but face steep weekly losses as Iran war rages
European stocks rose while U.S. futures were little changed on Friday as oil prices steadied, though global equities remained on track for their steepest weekly drop in a year as the conflict in the Middle East showed few signs of easing.
Currencies also stabilized, with the dollar flat after rising around 1.4 per cent this week. Asian stocks inched up while Treasuries steadied as investors awaited key U.S. jobs data later in the day.
“Global markets are looking more positive today, if only a touch, largely driven by a let-up in oil prices after a volatile week for energy markets,” said Matt Britzman, senior equity analyst at Hargreaves Lansdown.
Europe’s STOXX 600 index rose 0.45 per cent in early European trading, with Germany’s DAX and Britain’s FTSE 100 up 0.75 per cent and 0.48 per cent respectively.
Futures for the U.S. S&P 500 and Nasdaq indices were unchanged.
The U.S.-Israel war on Iran convulsed global markets this week and left investors seeking the safety of cash, as they sobered up to the fact that the conflict could drag on longer than initially anticipated.
The MSCI all-world stock index was on track to drop 2.6 per cent in the biggest weekly fall since March 2025.
– Reuters
03/06/26 04:30
Thursday markets recap: U.S. stocks down as Middle East conflict enters sixth day
Boats in the Strait of Hormuz as seen from Oman on Monday.Amr Alfiky/Reuters
U.S. stocks closed down on Thursday as the Middle East conflict entered its sixth day, pushing oil prices higher and spurring worries about inflation and whether the Federal Reserve will cut interest rates.
Expansion of the conflict to more countries fed fears of disruption in the Strait of Hormuz, a critical energy choke point, where missile and drone threats have drastically reduced tanker traffic.
This lifted U.S. crude prices about 8.5 per cent to USUSUS$81 a barrel, the highest since July, 2024. Global benchmark Brent crude rose 4.9 per cent to USUSUS$85.41. Traders worry a prolonged interruption could feed inflation and slow economic growth.
“Look at oil today, it tells you everything you need to know about why the stock market’s down,” said Michael Antonelli, market strategist at Baird Private Wealth Management. “The market is really trying to grapple with how long this conflict will last.”
The S&P 500 lost 39.37 points, or 0.57 per cent, to end at 6,830.13 points, while the Nasdaq Composite lost 58.18 points, or 0.25 per cent, to 22,749.31. The Dow Jones Industrial Average fell 790.63 points, or 1.62 per cent, to 47,948.78.
Declines in financials such as JPMorgan Chase and Goldman Sachs also weighed on the blue-chip Dow.
– Globe staff with wire services
