Oil above $116 on Iran strike fears; stocks and bonds slide

· Economy · United States · Iran

Brent crude rose about 3.5% on Friday to settle near $117 a barrel, a six-month high, as fears grew that the US and Israel could renew strikes on Iran. The Dow industrials fell more than 600 points and the S&P 500 posted back-to-back losses, while Treasury yields rose as inflation worries resurfaced days before the Federal Reserve's rate decision. President Donald Trump said the US may launch "another little Epic Fury" against Iran, referring to the joint Israeli-American operation that started the war in late February. Iran has threatened retaliation against Gulf refineries and data centres. Chipmakers posted their longest weekly losing streak since November, and the tech selloff spread beyond AI names.

Why it matters：Higher oil prices feed directly into inflation and household fuel costs, tying the Middle East conflict to interest-rate decisions and elections far beyond the region.

Key points

  • Brent settled near $117; the rise was about 3.5% on Friday
  • The Dow fell more than 600 points, with most S&P 500 firms down
  • Fed rate decision and a key inflation report are due next week

Sources (original reporting)

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