[New York Stock Market] Iran Suspends Communication With U.S.; Mixed Opening as Oil Prices Rise

Clashes Continue During U.S.-Iran Negotiations
Israel Launches Strikes on Southern Outskirts of Lebanon

As tensions between the United States and Iran flared once again, international oil prices rose, resulting in mixed performance among the three major U.S. stock indices on June 1 (local time).

According to the home trading system (HTS), as of 9:40 a.m., the Dow Jones Industrial Average on the New York Stock Exchange (NYSE) was down 171.46 points (0.34%) from the previous trading day, standing at 50,861.00. The S&P 500 index, which focuses on large-cap stocks, dropped 1.51 points (0.02%) to 7,578.55, while the tech-heavy Nasdaq index gained 3.56 points (0.01%) to reach 26,976.18.

New York Stock Exchange. New York (USA) – Photo by Yoonjoo Hwang

According to The New York Times (NYT) on this day, the U.S. Central Command (CENTCOM) announced that it had struck radar and command facilities in southern Iran over the weekend. The U.S. military explained that this attack was a retaliatory measure after Iran shot down an American drone.

In response, the Islamic Revolutionary Guard Corps (IRGC) stated that it carried out a retaliatory strike targeting the military base used by the United States to attack Iranian communications facilities in southern Iran, according to Iranian state media reports. This clash occurred while the United States and Iran were engaged in negotiations aimed at ending the conflict and normalizing the situation in the Strait of Hormuz.

During previous negotiations, Iran had demanded the implementation of a ceasefire between Israel and the pro-Iranian militant group Hezbollah as a condition for a peace agreement. However, on this day, Israeli Prime Minister Benjamin Netanyahu issued a statement directing military strikes on the outskirts of southern Beirut, Lebanon.

After Iranian state media reported that Iran's negotiating team had suspended communication with the United States due to Israel's attack on Lebanon, international oil prices surged. At this time, West Texas Intermediate (WTI) crude on the New York Mercantile Exchange was up 6.35% from the previous session, trading at $92.88. Brent crude on the ICE Futures Exchange soared 5.22% to $95.85 compared to the previous session.

Oil and energy stocks all rallied, with ExxonMobil up 2.50%, Chevron up 1.95%, Occidental Petroleum up 4.25%, Diamondback Energy up 4.11%, and APA up 4.76%.

Nvidia, the company with the largest market capitalization, saw its share price climb 4.32% after unveiling a new processor for personal computers in collaboration with Dell Technologies, helping to offset the overall market decline. Meanwhile, Intel, which has dominated the PC chip market for years, was down more than 6%.

This content was produced with the assistance of AI translation services.