US stocks fall as Nasdaq 100 drops nearly 2% on tighter financial conditions

  • US stocks declined as tight financial conditions raised concerns about economic growth.
  • Nasdaq 100 fell nearly 2%, while S&P 500 and Dow dropped up to 0.7%.
  • US-Iran strikes in the Persian Gulf prolonged the region's energy-export suspension.

US stocks declined on Tuesday as concerns grew that tight financial conditions could weaken economic growth. The S&P 500 and Dow fell as much as 0.7%, while the Nasdaq 100 dropped nearly 2%. Strikes between the US and Iran in the Persian Gulf prolonged the suspension of energy exports from the region, adding to global inflation risks and strengthening expectations that major central banks could resume interest-rate increases this year. Surging corporate debt issuance by AI companies expanded credit supply and pushed yields higher, weighing particularly on technology shares. Marvell, Intel, Oracle and Tesla each fell about 3%, while Nvidia declined 2% despite a $35 billion computing deal between Lambda, in which Nvidia has a large stake, and Anthropic. Asset managers also weakened, with Blackstone and KKR each losing 4%.

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