Traders work at the New York Stock Exchange on June 13, 2025.
NYSE
Stocks tumbled Friday after Israel launched a wave of airstrikes on Iran, pushing energy prices higher and adding another complication at a time of heightened geopolitical tensions.
The Dow Jones Industrial Average fell 769.83 points, or 1.79%, ending at 42,197.79. The S&P 500 dropped 1.13% to close at 5,976.97, while the Nasdaq Composite lost 1.30% and settled at 19,406.83.
Nvidia and other stocks that have led the market’s comeback from the April lows dropped as investors shed risk. Oil and defense stocks were higher. Exxon added 2%, while Lockheed Martin and RTX each jumped more than 3%.
The market drop began Thursday evening as Israel’s defense minister Israel Katz declared a special state of emergency following an Israeli attack on Iran. Two U.S. officials said that there is no U.S. involvement or assistance, according to NBC News.
On Friday, stocks’ decline worsened after Israel Defense Forces said that Iran launched missiles toward Israel, in retaliation for Israel’s series of airstrikes. Iranian state television said Friday afternoon that Iran will not participate in the sixth round of nuclear negotiations with the U.S. planned for this weekend.
Brent crude futures and West Texas Intermediate crude futures both surged more than 7%. At one point, WTI crude oil neared $74 a barrel. Gold prices rose to a near two-month high, driven by demand for safe assets.
“This conflict adds challenges to the already sizable collection of worries being maintained by the markets–those aren’t going away. At the bare minimum the spike in crude, if it persists, will have an almost immediate impact on inflation numbers,” said Mark Malek, chief investment officer of Siebert Financial.
President Donald Trump, in a Friday morning post on his social media site Truth Social, warned Iran to come to the negotiating table.
“There has already been great death and destruction, but there is still time to make this slaughter, with the next already planned attacks being even more brutal, come to an end. Iran must make a deal, before there is nothing left, and save what was once known as the Iranian Empire,” Trump wrote. “No more death, no more destruction, JUST DO IT, BEFORE IT IS TOO LATE.”
Trump said in a separate early morning post that he is giving Iran “perhaps, a second chance” to strike a nuclear deal. “Two months ago I gave Iran a 60 day ultimatum to ‘make a deal.’ They should have done it! Today is day 61,” he wrote.
Separately, a closely watched University of Michigan survey released Friday indicated an uptick in consumer sentiment last month. The university’s Survey of Consumers rose to 60.5 in June, well ahead of the Dow Jones estimate for 54 and a 15.9% increase from a month ago.
Friday’s sell-off dragged the major averages into negative territory on the week. The S&P 500 lost 0.4%, while the Nasdaq slid 0.6%. The Dow fell 1.3% over the week.
