US stocks fall sharply on geopolitical worries
Wall Street stocks finished a volatile week sharply lower, falling on Friday on anxiety over a potential escalation of conflict in the Middle East. Market watchers cited worries about an imminent attack on Israel by Iran to retaliate for a strike in Damascus – a possibility also raised by President Joe Biden, who urged Iran against the move. After spending the entire session in the red, the Dow Jones finished down 1.2 percent, or 475 points, at 37,983. The S&P 500 dropped 1.5 percent to 5,123, while the Nasdaq shed 1.6 percent to 16,175. The geopolitical angst came after a hot consumer price report on Wednesday sent stocks tumbling only to be reversed on Thursday in a move seen as a relief rally. Equities have been under pressure in recent weeks as traders bet that the Federal Reserve will push back interest rate cuts due to inflation. JPMorgan Chase on Friday sank 6.5 percent despite strong first-quarter earnings as the large bank highlighted worries over geopolitics and inflation. "The market is probably too happy," CEO Jamie Dimon said on a conference call with reporters. "I think the chance of bad outcomes is higher than other people think." Among other large financial companies reporting results, Citigroup fell 1.7 percent, Wells Fargo dipped 0.2 percent and BlackRock dropped 2.9 percent. (AFP)