Stock Market News: The Dow Falls 500 Points

Stocks closed sharply lower, with the Dow Jones Industrial Average clocking in its worst weekly performance in over a year.

The Dow Jones Industrial Average fell 530 points, or 1.4%, while the S&P 500 lost 1.2% and the tech-heavy Nasdaq Composite lost 1.4%.

All three indexes were in the green for most of the day.

Thursday's drop from session highs was the biggest blown gain for all the three indexes since mid-2023, according to Dow Jones Market Data.

Oil prices hit their highest level since October.

The 10-year yield saw the biggest decline in about two weeks to 4.308%. Yields drop when demand for Treasuries rises.

Markets had a lot to digest. Middle East tensions escalated after Israeli Prime Minister Benjamin Netanyahu indicated Israel would take an aggressive stance against Iran and its proxies. Earlier, the White House said President Joe Biden called for an “immediate ceasefire” in Gaza.

Eight Federal Reserve officials were on tap to speak Thursday. The Fed’s Neel Kashkari indicated that interest-rate cuts may not be needed at all this year if progress on inflation stalls.

Next up, investors are paying attention to the March jobs report.

Economists polled by FactSet expect a gain of 200,000 in payrolls, a healthy showing and not far off from February’s 275,000.

A higher-than-expected number could further dampen stocks as it might delay the timing and pace of interest rate cuts.