Stocks hit 7-month low as Oil settles above $100

The first quarter of 2026 closes with markets scarred by the ongoing US-Israeli war against Iran. The S&P 500 fell 0.4% to 6,343.33 on Monday, leaving it 8.7% below its record close, while the Nasdaq Composite shed 0.73% to 20,795.20 and the Dow eked out a 0.12% gain to 45,219.91, technically exiting correction territory. WTI crude rose 4.6% to $104.18 a barrel and Brent topped $115 intraday before settling near $114.22, putting Brent on track for a record monthly percentage gain. The quarter has been historic for energy markets — Brent is up 85% since January, its largest quarterly rise since 1990. Gold gave back some ground but remains elevated at $4,516.16/oz after its steepest monthly drop in almost 20 years. Powell’s “wait and see” stance trimmed wagers on Fed hikes, pushing US 10-year yields down nine basis points to 4.34%. ASX 200 futures point to a 0.13% open at 8,500, with the RBA releasing minutes from its March meeting at 11:30am AEDT today.Key Takeaways01 - The S&P 500 fell 0.4% to 6,343.33, the Nasdaq Composite shed 0.73% to 20,795.20, and the Dow added 0.12% to 45,219.91 — Wall Street heads toward its worst quarter since 2022 with five of the Magnificent Seven now in bear market territory.02 - The Iran war entered week five with the Strait of Hormuz still closed; Trump threatened to destroy Iranian electricity plants, oil wells, and Kharg Island, while Houthi militants entered the conflict over the weekend, raising the spectre of a second shipping choke point.03 - WTI crude rose 4.6% to $104.18 a barrel and Brent surged toward $115 intraday, putting the international benchmark on track for a record monthly percentage gain, as the Hormuz closure choked off roughly 20% of global oil and gas flows.04 - US 10-year Treasury yields fell nine basis points to 4.34% after Fed Chair Powell said inflation expectations are “well anchored beyond the short term,” though traders have fully priced out any Fed rate cuts in 2026.05 - The IMF warned that the Iran war represents a “global, yet asymmetric” shock — “all roads lead to higher prices and slower growth” — with low-income economies most exposed through surging food and fertilizer prices.06 - ASX 200 futures are pointing to an open of 8,500, up 11 points (+0.13%); the AUD/USD is trading near 0.6844; and the RBA releases minutes from its March meeting at 11:30am AEDT today.