NEW YORK — The Dow Jones Industrial Average tumbled nearly 800 points on Friday, closing in correction territory as renewed concerns over the Iran conflict and elevated oil prices weighed on investor confidence.
The Dow fell 793 points, or 1.73 percent, to close at 45,166.64. The S&P 500 dropped 1.67 percent to 6,368.85, and the Nasdaq composite declined 1.93 percent. The losses marked the sharpest single-day drop for the Dow in recent weeks and pushed the blue-chip index more than 10 percent below its recent peak earlier this year.
The decline came as Brent crude oil prices rose above $106 a barrel amid persistent restrictions on shipping through the Strait of Hormuz. Iran has maintained its blockade of the waterway since early March, sharply reducing commercial traffic from the normal 130 to 150 vessels per day to fewer than a dozen on some days. The strait normally carries about one-fifth of global oil trade. Higher energy costs have raised inflation worries and increased borrowing costs, with the 10-year Treasury yield climbing in recent sessions.
Technology and consumer stocks led the declines on Friday. Major companies in the Dow posted losses of 2 percent to more than 3 percent. The broader market has shown volatility since U.S. and Israeli strikes on Iran began in late February, with several indexes already experiencing significant pullbacks.
The downturn follows mixed signals on diplomatic efforts. President Donald Trump extended a deadline for Iran to reopen the strait to April 6, citing backchannel talks, but limited progress and continued Iranian missile activity, including a recent strike on a U.S. base in Saudi Arabia, have kept uncertainty high. Israeli strikes on targets in Tehran were reported earlier this week.
As of Saturday morning, stock futures pointed to continued caution. Energy markets remained elevated, and officials continued to monitor maritime activity in the Persian Gulf and diplomatic contacts aimed at resolving the conflict. The situation at the Strait of Hormuz stayed restricted, with sporadic approved transits reported.
