Dow tumbles 1,075 points as Iran war escalates
Mar 3rd 2026
Markets sold off and oil jumped after U.S.-Israeli strikes on Iran and Iranian retaliation, raising fears of disrupted oil flows and wider economic impact.
- Dow fell 1,075 points or 2.2%, the S&P 500 dropped 2% and the Nasdaq fell about 2% in early trading.
- Oil prices spiked for a second day on fears of a prolonged blockade of the Strait of Hormuz.
- U.S. national average gasoline price rose about 11 cents overnight to $3.11, AAA said.
- President Trump announced major combat operations and U.S.-Israeli strikes targeted Iranian military and government sites.
- Iranian state television reported Ayatollah Ali Khamenei was killed and Iran has launched missile and drone attacks on Israel, U.S. bases and regional targets, while U.S. Treasury yields ticked higher amid economic and inflation concerns.