[New York Stock Exchange] Trump Announces "Resumption of Maritime Blockade"... Markets Fall Across the Board

Most Semiconductor Stocks Declining

On the 13th (local time), all three major U.S. stock indexes declined as international oil prices surged following U.S. President Donald Trump's announcement to resume a maritime blockade against Iran.

On the New York Stock Exchange (NYSE), the Dow Jones Industrial Average closed at 52,583.03, down 53.98 points (0.10%) from the previous session. The S&P 500 index, which focuses on large-cap stocks, fell by 26.93 points (0.36%) to 7,548.90. The Nasdaq index, which is centered on technology stocks, dropped by 229.14 points (0.87%) to 26,052.46.

Shares of semiconductor-related companies came under downward pressure, dragging the indexes lower. Shares of SK hynix, listed on the U.S. stock market, also plummeted nearly 7%. Micron and SanDisk each fell by 6% and 10%, respectively. Seagate and Intel declined by 6% and 4%, respectively.

The market is once again contracting sharply amid renewed uncertainty in the Middle East. The United States and Iran exchanged airstrikes over the weekend, and President Trump announced shortly after the market opened on the 13th that the maritime blockade against Iran in the Strait of Hormuz would be reinstated.

Consequently, concerns over a shock to energy supplies have grown again, sending international oil prices soaring once more. On the New York Mercantile Exchange, West Texas Intermediate (WTI) crude for August delivery was trading at $74.78 per barrel, up 4.72% from the previous session. On the ICE Futures Exchange, Brent crude for September delivery was trading at $79.28 per barrel, up 4.51% from the previous session.

Mohamed El-Erian, chief economic advisor at Allianz, told CNBC on Monday, "The market firmly believes these small-scale clashes will remain contained and will not escalate into a full-scale conflict again."

Twenty-eight S&P 500 companies, including major U.S. banks such as JPMorgan Chase, Goldman Sachs, Morgan Stanley, Bank of America, Citigroup, and Wells Fargo, are scheduled to announce earnings this week. Quarterly results from Netflix, Johnson & Johnson, and UnitedHealth are also expected to be released.

There is strong optimism for this earnings season. According to FactSet, analysts on average expect S&P 500 companies’ second-quarter earnings to have increased by more than 23% compared to the same period last year.

Larry Adam, Chief Investment Officer (CIO) of Raymond James, emphasized the need to focus on whether AI businesses can continue to drive profits.

He stated, "Despite concerns that hyperscaler companies may begin to reduce capital expenditures related to AI, capital expenditure plans through 2028 have been reaffirmed and are expected to increase."

He added, "There is evidence that companies are gaining tangible benefits from adopting AI, with the number of AI references across all 11 industry sectors rising by 98% year-over-year, setting an all-time high."

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