Stock Markets Retreat After Iran Strikes; Oil Prices Rise Despite Peace Deal Hopes
U.S. stock markets fell on Thursday as military tensions in the Strait of Hormuz escalated, offsetting earlier gains from optimism about a U.S.-Iran peace deal. Oil prices climbed back toward $100 per barrel despite hopes for a ceasefire agreement.
Market Decline
It was a rough session for stocks, including the Nasdaq (-0.13%), S&P 500 (-0.38%), and Russell 2000 (-1.74%), all of which were fresh off all-time highs.
Earlier Optimism
Stocks rose on Wednesday following a report that the U.S. and Iran were nearing an agreement to end the war. The S&P 500 advanced 1.46% to 7,365.12, while the Nasdaq Composite gained 2.02% and ended at 25,838.94. Both indexes touched new highs and closed at records.
Energy Sector Impact
Oil prices were falling on hopes that the U.S. and Iran could reach an agreement that would eventually reopen the Strait of Hormuz. However, Markets are retreating from yesterday's record highs as oil hovers near $100 and traders watch for signs the Middle East war may be nearing an end.
Company-Specific Moves
Planet Fitness shares cratered 33%, on pace for the stock's worst single-day drop ever, after the gym chain slashed its 2026 outlook and scrapped a planned price hike. Full-year sales growth guidance dropped from 9% to 7%, and adjusted earnings are now expected to fall 2%.