Dow tumbles 500 points as Brent crude tops $100, Alphabet and Tesla drop
US equities fell Thursday as oil prices surged amid escalating conflict in the Middle East. The Dow Jones shed more than 500 points while Alphabet and Tesla shares dropped. Investors weighed rising energy costs alongside renewed worries about heavy AI spending among big tech firms.
Wall Street suffered a sharp selloff Thursday as Brent crude topped $100 a barrel for the first time since May, driven by escalating tanker attacks in the Red Sea and the ongoing conflict with Iran. The Dow Jones Industrial Average closed down more than 500 points, with the S&P 500 and Nasdaq also retreating.
Alphabet and Tesla shares were among the day's biggest decliners, as investors weighed both companies' enormous artificial-intelligence infrastructure spending against slowing growth expectations. Rising energy costs added further pressure to an already cautious market mood.
Analysts warned that a sustained rise in oil prices could reignite inflation pressure and complicate central banks' plans for interest rate cuts. Investors are now watching upcoming corporate earnings and geopolitical developments closely in the weeks ahead.
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