Traders work on the floor of the New York Stock Exchange on March 5, 2026.
Spencer Platt | Getty Images
Stock futures were plunging to start the week’s trading as U.S. oil prices topped $100 a barrel amid the U.S.-Iran conflict, raising fears higher energy prices could dramatically slow the U.S. economy. The Dow Jones Industrial Average is coming off its biggest weekly slide in nearly a year.
Futures tied to the Dow fell 966 points, or 2%. S&P 500 futures and Nasdaq 100 futures each tumbled 1.6%.
West Texas Intermediate crude jumped 18% to above $108 a barrel, its first time above the $100 level since July 2022, when investors were reacting to the aftermath of Russia’s invasion of Ukraine. International benchmark Brent crude added 16% to above $107 a barrel. U.S. oil prices began the year below $60 a barrel.
Oil futures jumped on Sunday night after major Middle East producers slashed their output due to the continued closure of the key Strait of Hormuz passageway. Kuwait announced cuts but did not say by how much, while Iraq has reportedly seen its production fall 70%.
The $100 oil level was seen by many on Wall Street as a breaking point for the economy unless the war is resolved quickly and prices retreat.
The war showed little signs of easing despite Trump’s claim it was “already won” with Iran naming Ayatollah Khamenei’s son, Mojtaba, as its new supreme leader, according to reports.
Sunday’s moves follow a rough week on Wall Street as the U.S.-Iran war sent crude prices spiking. U.S. crude soared more than 35% last week, marking its biggest weekly gain since the futures contract began trading in 1983. The American crude contract finished the week above the $90 mark.
The Dow slid around 3% last week, its worst weekly decline since President Donald Trump’s initial tariff announcement roiled markets in early April 2025. The broad S&P 500 shed 2%, while the Nasdaq Composite ended the week 1.2% lower.
“Markets are clearly jittery as the impact, and duration, of the war in the Mideast are very uncertain, with a potentially wide range of outcomes for economies and important market influences,” BlackRock CIO Rick Rieder wrote to clients on Friday. “These events are creating some extreme movements in areas of the markets as market participants are clearly looking to reduce overweight positions or hedge embedded risk.”
There’s no economic data of note slated for Monday, but investors will follow releases on inflation, employment and gross domestic product due throughout the week. Investors will monitor Hewlett Packard Enterprise earnings after the bell on Monday, followed by Kohl’s, Oracle, Dollar General and Dick’s Sporting Goods later in the week.
— CNBC’s Spencer Kimball contributed to this report.