U.S. stocks close lower on Middle East conflict

NEW YORK, Oct. 1 (Xinhua) — U.S. stocks ended lower on Tuesday, after Iran fired more than 100 missiles toward Israel in retaliation for the ground invasion of southern Lebanon.
The Dow Jones Industrial Average fell 173.18 points, or 0.41 percent, to 42,156.97. The S&P 500 sank 53.73 points, or 0.93 percent, to 5,708.75. The Nasdaq Composite Index shed 278.81 points, or 1.53 percent, to 17,910.36.
Eight of the 11 primary S&P 500 sectors ended in red, with technology and real estate leading the laggards by losing 2.66 percent and 0.66 percent, respectively. Meanwhile, energy and utilities led the gainers by going up 2.23 percent and 0.81 percent, respectively.
Oil prices surged, and stocks dropped on Tuesday, as concerns over escalating tensions in the Middle East weighed on markets, according to analysts.
“Much remains uncertain. A significant escalation by Iran risks bringing the U.S. into the war, which Tehran will presumably seek to avoid,” David Oxley at Capital Economics said.
On the economic front, U.S. manufacturing remained steady in September, according to the Institute for Supply Management (ISM).
U.S. purchasing managers’ index in manufacturing was unchanged at 47.2, still signaling contraction as readings below 50 indicate a shrinking sector.
Meanwhile, U.S. job market data surprised analysts, as job openings rose unexpectedly in August. There were 8.04 million openings at the end of the month, up from 7.71 million in July, indicating that the labor market remains resilient despite signs of a gradual slowdown.
Investors are now looking to September’s nonfarm payrolls report on Friday, which could serve as a catalyst for the major averages.
In corporate news, Apple stock fell Tuesday after a Barclays analyst said the tech giant may have reduced iPhone 16 production orders by 3 million. ■