U.S. stock markets eased on Thursday, but the decline was milder than in Europe. At the close of New York trading, the Dow Industrial Average stood at 46,021 points, down 0.4 %, while the broader S&P 500 finished at 6,606 points, a loss of 0.3 %. The Nasdaq 100 also ended 0.3 % lower at 24,355 points, although the two indices briefly returned to positive territory later in the session.
A key reason for the relatively calm European atmosphere was the rollback of the sharp rise in oil prices during the day. A barrel of North Sea Brent crude fetched $107.80 at about 9 p.m. German time, a decline of only 37 cents-or 0.3 %-from the previous day’s close. The primary focus on markets remains the Middle East conflict and the blockage of the Strait of Hormuz. Many investors still find it difficult to gauge the duration of the conflict and its potential impacts. Some relief was offered by statements from Israeli Prime Minister Netanyahu, who said that many of the war’s objectives had already been achieved.
The euro strengthened noticeably by Thursday evening. One U.S. dollar was worth €1.1586, an increase of 1.13 %, meaning 1 $ could be exchanged for 0.8631 €. Gold was also on a sharp decline; the price for a fine ounce fell to $4,660, a drop of 3.5 %, which translates to €129.30 per gram.