The U.S. stock market mostly closed lower on Friday, with the Dow Jones and S&P 500 recording weekly gains, amid escalating tensions in the Israel-Gaza conflict.
Dow Jones and S&P 500 Weekly Gains
The Dow Jones Industrial Average (DJIA) rose approximately 39 points or 0.1% on Friday, finishing near 33,670, according to preliminary FactSet data. The S&P 500 index fell by 0.5%, while the Nasdaq Composite Index closed 1.2% lower.
Energy Segment Performs Well
On Friday, the energy segment of the S&P 500 outperformed, recording a gain of 2.3%. This was driven by a surge in U.S. benchmark crude oil prices of nearly 6%, following Israel's order for more than a million people in Gaza to evacuate to the south.
Treasury Yields Retreat
Treasury yields decreased, with the 10-year Treasury rate retreating to 4.628% on Friday, breaking a five-week yield climb, as reported by Dow Jones Market Data. It is important to note that bond prices and yields move in opposite directions.
Safe-Haven Assets in Demand
Investors sought refuge in safe-haven assets such as gold and the U.S. dollar. The price of gold increased by 3.12%, while the U.S. dollar slightly appreciated. Additionally, Wall Street’s volatility index (VIX) reached its highest level in over a week, indicating increased fear and uncertainty among investors.
Despite the turbulent market conditions, the Dow Jones recorded a weekly gain of 0.8%, while the S&P 500 advanced by 0.5%. However, the Nasdaq experienced a slight decline of 0.2%.