This Week on Wall Street

Wall Street opened the new week on the back foot Monday, unwinding some of last week's gains as renewed U.S.-Iran tensions over the Strait of Hormuz rattled markets. The S&P 500 slipped about 0.4% to roughly 7,711.68, the Nasdaq Composite led losses, down near 1.0% to about 26,806.15 on AI-safety jitters and a rotation out of megacap tech, while the Dow Jones eased 0.4% to near 51,631.67 as investors reassessed risk appetite. Friday's session had capped a strong week — the Nasdaq gained 2.0%, the S&P 500 rose 1.2%, and the Dow snapped its losing streak with a 0.3% advance — but that optimism faded once the latest Iran proposal to reopen the strait was rejected. Energy stocks surged as WTI crude jumped roughly 4% to $96.30 a barrel, while gold tumbled about 3% to near $4,152 as investors rotated out of precious metals and megacap tech into energy and consumer staples. The 10-year Treasury yield pushed above 5.2%, its highest since 2007, and the CNN Fear & Greed Index eased to 34 (Fear) from 38 a week earlier. Traders now look ahead to JOLTS job openings and consumer confidence Tuesday, the PCE inflation gauge Wednesday, and Nike's fiscal Q1 earnings on October 1.