Dow Jones drops 0.60% as oil crosses $100

The Dow Jones Industrial Average fell 0.60% to close at 52,064 points on Thursday. Broader US stock indices also retreated, with the S&P 500 declining 0.58% to 7,591 points and the Nasdaq falling 0.65% to 26,081 points, pressured by rising crude prices and higher bond yields.

West Texas Intermediate crude oil jumped 6% to settle at $102.48 per barrel, marking its highest price in three months, after opening up 3.9%. Brent crude also surpassed $100 per barrel amid tensions between the United States and Iran. WTI has gained 52.9% since the war with Iran began in late February. Commercial crude inventories, excluding the Strategic Petroleum Reserve, fell by 391,000 barrels last week to 424.1 million barrels, according to the US Energy Information Administration.

The climb in crude prices pushed the 10-year US Treasury yield above 4.95%, reaching its highest mark since October 2023. Yields rose despite US government debt buybacks aimed at containing borrowing costs. In individual stocks, Oracle rose 7% in extended trading after reporting first-quarter revenue of $19.35 billion, up 30%, led by a 62% jump in cloud revenue to $11.60 billion.

Across other markets, spot gold fell to $4,363 per ounce, the euro traded at $1.1608, and bitcoin slipped to $77,282.