FX.co ★ US Stocks Pull Back

US stocks turned lower on Thursday as a rebound in energy prices rekindled concerns that the Federal Reserve may raise interest rates next month. The S&P 500 slipped slightly, the Dow Jones Industrial Average fell 0.7%, and the Nasdaq 100 declined 0.4%.

Yields rose alongside wholesale fuel prices as markets reassessed the odds that tanker traffic through the Strait of Hormuz will normalize. Adding to the pressure, a series of hawkish comments from FOMC members were underscored by a report indicating that Fed Chair Warsh is prepared to hike rates if inflation continues to climb.

Financial stocks weakened, with Citigroup, Wells Fargo, and American Express each dropping more than 1%. Credit‑sensitive hyperscalers also traded mostly lower, with Alphabet down 1%.

In the tech sector, Western Digital plunged 12% after issuing disappointing guidance. Sandisk also struggled, losing nearly 6% as its results fell short of elevated expectations for memory producers.

SpaceX, meanwhile, rebounded to close 2% higher as approximately $101 billion worth of its shares came off post‑IPO lockup.