Oil prices are rising after a weekend of attacks in the Middle East, with the price for a barrel of Brent crude oil increasing by 4.7% to $79.59. The United States and Iran have both claimed control of the Strait of Hormuz, a key waterway for oil tankers. This has driven up fuel prices worldwide.
Impact on Stock Markets
The rise in oil prices has had a negative impact on stock markets, with the S&P 500 falling 0.2% and the Nasdaq composite dropping 0.8%. Chip stocks, such as Micron Technology, have led the way lower, with Micron sinking 4.1%. Nvidia, the largest stock on Wall Street by value, fell 1% and was the single heaviest weight on the S&P 500.
The day’s losses began in Asia, where South Korea’s Kospi index dropped 8.9%. SK Hynix’s stock in Seoul plunged 15.4%, the worst since it began trading in 1997. The South Korean tech giant had just launched shares of its stock trading in the United States on Friday, raising roughly $26.5 billion.
AI Industry Holds Up
Other areas of the AI industry held up a bit better, with Taiwan Semiconductor Manufacturing Co.’s shares in Taiwan rising 1%. The chipmaker said its revenue in June jumped nearly 68% from a year earlier, bringing its total revenue growth for the first half of the year to 35.6% from a year earlier.
Original reporting: WTVQ (Lexington) — read the source article.
