US markets slump on Thursday, Dow Jones down almost 300 points

• Brent crude surged 5% to $113-$115 per barrel after Iran targeted Israeli energy facilities and infrastructure in Qatar, raising fears of prolonged supply disruptions through the Strait of Hormuz.
• The Federal Reserve held rates steady and projected only one rate cut in 2026, with Chair Jerome Powell warning of rising near-term inflation risks; major banks now expect easing delayed until mid-2027.
• Tech stocks declined with Micron down 7% on profit-taking and Nvidia falling 2.46%, while Rivian surged 11% on news of an Uber partnership for robotaxi fleets.

Market Summary: US Equities Decline on Oil Surge and Inflation Concerns

Key Market Movements (March 19, 2026):

US markets opened sharply lower Thursday, with the Dow Jones falling 298 points (-0.65%), S&P 500 down 0.81%, and Nasdaq 100 declining 1.13%. The Dow closed below its 200-day moving average, signaling deteriorating technical positioning and marking a fresh 2026 low.

Primary Drivers:

Escalating Middle East geopolitical tensions drove Brent crude oil up 5% to $113-$115 per barrel after Iran attacked Israeli and Qatari energy infrastructure. Concerns center on potential disruptions through the Strait of Hormuz, a critical global oil chokepoint, threatening to sustain elevated energy prices and fuel broader inflation.

Federal Reserve and Inflation Data:

The Fed maintained a cautious stance Wednesday, projecting just one rate cut for 2026. Chair Jerome Powell highlighted rising near-term inflation risks from higher energy prices. Hotter-than-expected Producer Price Index (PPI) data reinforced inflation concerns predating the geopolitical crisis. Major banks including Morgan Stanley, Goldman Sachs, and Barclays have pushed rate cut expectations to mid-2027.

Sector Performance:

• Technology: Semiconductor stocks faced profit-taking despite positive fundamentals. SanDisk fell 5.5%, Western Digital dropped 3.4%, and Nvidia declined 2.46%. Micron Technology also slipped despite strong earnings signals from tight memory supply.
• Travel: Energy-sensitive airline stocks weakened, with Delta and United Airlines each falling over 1%.
• Bright Spots: Rivian surged on news of an Uber partnership to scale robotaxi fleets globally.

Market Implications:

Risk-off sentiment dominates as investors reassess monetary policy expectations amid persistent inflation and geopolitical uncertainty, creating headwinds for equities particularly in rate-sensitive technology and energy-dependent sectors.