As for stocks, they were relatively subdued until selling pressure hit at the end of the day, sending the S&P 500 down 1.1%. Still, after a week of highs and lows, the index ended the five sessions essentially where it started. And it remains less than 3% away from a record.
For weeks, the S&P 500 Index has inched along near an all-time high despite encouraging economic signals, as Wall Street’s concerns about a rich stock market in the face of mounting global uncertainty kept buying in check.
On Thursday night, those fears became real, with Israel and Iran exchanging missiles, threatening to start a wider war in the Middle East, which is already near boiling after years of fighting in Gaza. The price of oil spiked as much as 14% on Friday, while the yield on 10-year Treasuries halted a four-day slide and started rising again. The Cboe Volatility Index, or VIX, climbed above 20.
