Stocks tumbled Friday after Israel launched a wave of airstrikes on Iran, pushing energy prices higher and adding another complication at a time of heightened geopolitical tensions.
The Dow Jones Industrial Average fell 769.83 points, or 1.79%, ending at 42,197.79. The S&P 500dropped 1.13% to close at 5,976.97, while the Nasdaq Composite lost 1.30% and settled at 19,406.83.
Nvidia and other stocks that have led the market’s comeback from the April lows dropped as investors shed risk. Oil and defense stocks were higher. Exxon added 2%, while Lockheed Martin and RTX each jumped more than 3%.
The market drop began Thursday evening as Israel’s defense minister Israel Katz declared a special state of emergency following an Israeli attack on Iran. Two U.S. officials said that there is no U.S. involvement or assistance, according to NBC News.
On Friday, stocks’ decline worsened after Israel Defense Forces said that Iran launched missiles toward Israel, in retaliation for Israel’s series of airstrikes. Iranian state television said Friday afternoon that Iran will not participate in the sixth round of nuclear negotiations with the U.S. planned for this weekend.
Brent crude futures and West Texas Intermediate crude futures both surged more than 7%. At one point, WTI crude oil neared $74 a barrel. Gold prices rose to a near two-month high, driven by demand for safe assets.
“This conflict adds challenges to the already sizable collection of worries being maintained by the markets–those aren’t going away. At the bare minimum the spike in crude, if it persists, will have an almost immediate impact on inflation numbers,” said Mark Malek, chief investment officer of Siebert Financial.
President Donald Trump, in a Friday morning post on his social media site Truth Social, warned Iran to come to the negotiating table.
“There has already been great death and destruction, but there is still time to make this slaughter, with the next already planned attacks being even more brutal, come to an end. Iran must make a deal, before there is nothing left, and save what was once known as the Iranian Empire,” Trump wrote. “No more death, no more destruction, JUST DO IT, BEFORE IT IS TOO LATE.”
Trump said in a separate early morning post that he is giving Iran “perhaps, a second chance” to strike a nuclear deal. “Two months ago I gave Iran a 60 day ultimatum to ‘make a deal.’ They should have done it! Today is day 61,” he wrote.
Separately, a closely watched University of Michigan survey released Friday indicated an uptick in consumer sentiment last month. The university’s Survey of Consumers rose to 60.5 in June, well ahead of the Dow Jones estimate for 54 and a 15.9% increase from a month ago.
Friday’s sell-off dragged the major averages into negative territory on the week. The S&P 500 lost 0.4%, while the Nasdaq slid 0.6%. The Dow fell 1.3% over the week.
Citi downgrades Sherwin-Williams to neutral rating from buy
Citi is moving to the sidelines on Sherwin-Williams, citing a more sluggish housing market.
In a Friday note, analyst Patrick Cunningham downgraded the paint manufacturer to a neutral rating from buy. Simultaneously, he lowered his price target to $385 per share from $405.
Shares of Sherwin-Williams have added 5.7% this year. Cunningham’s revised price forecast implies that the stock could still rise another 8% from here.
“We downgrade SHW to Neutral on our more bearish outlook on housing, given our view of a delayed recovery stemming from the elevated rates, sluggish existing home sales, and a challenging homebuilder environment,” the analyst wrote wrote. “We see less attractive risk/reward with the inflection point in new resi getting pushed out and potential for an outsized negative reaction to any deceleration in resi repaint.”
— Lisa Kailai Han
Bank of America upgrades Whirlpool
Bank of America sees “diminishing competitive headwinds” as a potential boon for Whirlpool stock.
The firm upgraded the home appliance stock to neutral from underperform on Friday, and upped its price target to $94 per share from $68. BofA’s forecast implies about 7% upside from Thursday’s $87.56 close.
Analyst Rafe Jadrosich also said the company is well positioned to navigate President Donald Trump’s tariffs, which were recently widened to include home appliance imports. The analyst said that 80% of Whirlpool’s U.S. sales are manufactured domestically, with 96% of the steel used in its products sourced from the U.S.
Whirlpool stock has slipped roughly 20% in 2025. The stock added more than 3.5% on Friday.
— Brian Evans
Iran makes retaliatory strike, IDF says
This picture shows rocket trails in the sky above Jerusalem on June 13, 2025.
The Israel Defense Forces said that Iran launched a missile strike toward Israel late on Friday. Video showed that at least some of the missiles were sent toward the city of Tel Aviv. It was not immediately clear if any of the missiles hit their targets or if they were all intercepted by the Israeli air defense system.
— Jesse Pound
Travel stocks slide after Israel attack clouds travel outlook
The arrivals terminal remains empty at Ben Gurion airport, after flights were cancelled following Israel’s early-morning attack on Iran on June 13, 2025 in Tel Aviv, Israel.
Travel stocks took a hit on Friday as Israel’s attack on Iran raised questions about the outlook for international travel.
Vacation planning stocks Expedia and Booking Holdings each lost around 2%, as did rental platform Airbnb. Hotel stocks Hilton, InterContinental sand Marriott all shed more than 1%
Cruise and airline stocks also fell as investors worried that rising oil prices would weigh on profits.
— Alex Harring
Gold futures, mining stocks climb after Israel attack
Investments tied to gold climbed on Friday in apparent flight to safety following Israel’s strike on Iran.
Gold futures hit their highest level since April and were last up 1.3%. The SPDR Gold Shares (GLD) fund climbed 1.2%.
Meanwhile, the VanEck Gold Miners ETF (GDX) rose 1.5%. That fund was boosted by 2.1% gains for Newmont Corp. and Barrick Mining.
— Jesse Pound
Payments stocks tumble on Walmart, Amazon stablecoin report
Shares of payments stocks dropped after the Wall Street Journal reported Walmart and Amazon are considering issuing their own stablecoins in the U.S.
Credit card issuers Visa and Mastercard each fell more than 4%, respectively, while American Express lost 2% and Capital One retreated 1.3%. PayPal lost 4% and Block was lower by 1.6%.
Circle, the issuer of the USDC stablecoin, continued to rise following its successful IPO last week and after Shopify said Thursday it would enable payments in USDC for merchants on its payments platform.
Stablecoins created in house by major retailers could take over a high volume of transactions that are usually fulfilled using cash or credit cards, which could potentially save them billions of dollars in fees. More and more companies, particularly banks, are looking more closely at adopting stablecoins as Congress moves closer toward regulatory clarity via the GENIUS (Guiding and Establishing National Innovation for U.S. Stablecoins) Act.
— Tanaya Macheel
Airline stocks trade lower as oil price spike
Airline stock stumbled on Friday, as higher oil prices spiked fears of rising fuel costs.
American Airlines Group and United Airlines both lost 4% each, while Delta Air Lines shed 3%.
Also likely weighing on airline stocks were the lasting repercussions from Thursday’s fatal Boeing Dreamliner crash. That day, Air India Flight 171 crashed moments after takeoff, killing all but one of the 242 passengers aboard.
— Lisa Kailai Han
Palantir shares in the green amid geopolitical tensions
Palantir shares rose about 1% Friday in a broad sell-off on Wall Street as the company is widely perceived as a key player for U.S. and Israel defense.
The firm provides data analytics and intelligence platforms to defense and national security organizations. The stock outperformed Friday after Israel launched a wave of airstrikes on Iran, intensifying global geopolitical tensions.
The stock is up more than 80% this year.
— Yun Li
Bitcoin drops to $103,300 after losing its breakout
A representation of cryptocurrency Bitcoin is seen in this illustration taken Nov. 25, 2024.
The price of bitcoin fell as low as $103,000 on Friday morning — after beginning the week a stone’s throw from its record of almost $112,000 — after Israel launched a wave of airstrikes on Iran. It was last trading at about $104,000.
“The airstrikes sent oil spiking, which jolted inflation expectations and yanked rates higher, creating a chain reaction across risk assets,” said Ben Kurland, CEO at crypto research and charting platform DYOR. “Crypto, in particular, got hit because it’s highly sensitive to liquidity and macro volatility. When oil rips and yields rise, the appetite for leverage shrinks.”
“What we’re seeing though isn’t panic selling, it’s mechanical de-risking,” he added. “The big moves aren’t always about fear, they’re often about forced math.”
The flagship cryptocurrency is on pace to end the week little changed and is flat for the month. It still has held above the $100,000 level for more than 30 consecutive days.
— Tanaya Macheel
June consumer sentiment reading rebounds to much higher level than expected
Consumers in June grew considerably less pessimistic about the economy and potential surges in inflation as progress appeared on the tariff front, according to the closely watched University of Michigan Survey of Consumers
For the headline index of consumer sentiment, the gauge was at 60.5, coming out well ahead of the Dow Jones estimate for 54 and a 15.9% increase from a month ago.
— Jeff Cox
Stocks open Friday in the red
Stocks tumbled shortly after Friday’s market open, as tensions heighten after Israel’s attack on Iran.
Shortly after 10 a.m., the Dow Jones Industrial Average lost about 628 points, or 1.5%. The S&P 500 and Nasdaq Composite each lost 0.8%.
— Pia Singh
Energy stocks jump in premarket
Energy stocks popped in premarket trading amid a jump in oil prices after Israel launched airstrikes against Iran without U.S. support, drawing concerns over the supply outlook from the oil-rich Middle East region.
Global benchmark Brent futures with August delivery rose 7.7% to $74.65 per barrel. The U.S. West Texas Intermediate contract with July expiry was last up 8% at $73.52 per barrel.
Chevron rallied nearly 3%, while ConocoPhillips gained more than 4%. EOG Resources jumped more than 3%.
— Yun Li
Trump gives Iran a ‘second chance’ to reach a nuclear deal
WASHINGTON, DC – JUNE 12: U.S. President Donald Trump delivers remarks before signing a series of bills related to California’s vehicle emissions standards during an event in the East Room of the White House on June 12, 2025 in Washington, DC.
President Donald Trump said he’s giving Iran a “second chance” to reach a nuclear deal after Israel launched a wave of airstrikes against Iran.
“Two months ago I gave Iran a 60 day ultimatum to “make a deal.” They should have done it! Today is day 61. I told them what to do, but they just couldn’t get there. Now they have, perhaps, a second chance!” the president said in a post on Truth Social.
Israel launched a “targeted military operation” against Iran’s nuclear and ballistic missile program, Israel Prime Minister Benjamin Netanyahu said in an address. Israel hit Iran’s main enrichment site at Natanz, its leading nuclear scientists, and struck the heart of its ballistic missile program, Netanyahu said.
— Yun Li
Defense stocks surge amid escalating Iran-Israel tensions
People and first-responders gather outside a building that was hit by an Israeli strike in Tehran on June 13, 2025.
Shares of defense contractors jumped in the premarket Friday following Israel’s attack on Iran, which marked the largest attack on the country since the Iran-Iraq war.
RTX and Northrop Grumman each rose more than 4%, while Lockheed Martin gained more than 3%, as did L3Harris Technologies.
— Sean Conlon
Trump urges Iran to make deal after Israel attacks
President Donald Trump said on Friday that “Iran must make a deal, before there is nothing left.”
Speaking on his Truth Social platform the president added, “There is still time to make this slaughter, with the next already planned attacks being even more brutal, come to an end.”
Israel’s wave of airstrikes at Iran targeted Iran’s nuclear program along with senior military officials.
As of 6:37 a.m. ET, WTI crude oil was up nearly 9% to above $74 a barrel. Dow futures were off by about 500 points.
—John Melloy
U.S. defense stocks rise after Israeli attack
U.S. aerospace and defense stocks gained ground in the wake of Israel’s attack on Iran. The White House said it was informed of the offensive, but did not participate.
The U.S. is a close ally of Israel and historically a large supplier of weapons to the Jewish state.
Lockheed Martin was up 4.64% in premarket trading by 4:53 a.m. ET, with the RTX Corporation rising by 5.02% and Northrop Grumman adding 1.77%.
— Ruxandra Iordache
Iran launches 100 drones at Israel in response to missile attack as markets reel
Iran launched more than 100 drones toward Israeli territory Friday morning after Israel’s overnight missile strike on the country killed at least three of its senior military leaders.
“We can now confirm that the Chief of staff of the Iranian Armed Forces, Commander of the IRGC and the Commander of Iran’s Emergency Command were all eliminated in the Israeli strikes across Iran,” Israel Defense Forces spokesperson Effie Defrin said.
“Iran launched approximately 100 UAVs towards Israeli territory, which we are working to intercept.”
— Natasha Turak
Asia-Pacific markets fall as Israel conducts military strikes on Iran; oil prices soar
Firefighters work at the scene of a damaged building in the aftermath of Israeli strikes, in Tehran, Iran, June 13, 2025.
Asia-Pacific markets fell Friday as Israel conducted a military strike on Iran, targeting its nuclear program, while Iran vowed to retaliate.
Japan’s benchmark Nikkei 225 pared earlier losses to end the day 0.89% lower at 37,834.25 while the Topix fell 0.95% to 2,756.47.
South Korea’s Kospi dropped 0.87% to close at 2,894.62 while the small-cap Kosdaq declined 2.61% to 768.86.
Australia’s S&P/ASX 200 ended the day 0.21% lower at 8,547.40.
Hong Kong’s Hang Seng index fell 0.59% to 23,892.56 while mainland China’s CSI 300 ended the day 0.72% lower at 3,864.18.
India’s Nifty 50 lost 0.64%, while the BSE Sensex was down 0.79% as of 1.45 p.m. Indian Standard time.
—Amala Balakrishner
Dollar rises as investors seek safety
The dollar index — which measures the U.S. dollar against a basket of major rivals — was up 0.2% by 4 a.m. ET on Friday, as investors fled risk-on assets and sought safety.
The greenback notched gains against several major currencies. Against the euro and the British pound, it was up 0.4%. Against safe haven currencies, the Swiss franc and the Japanese yen, the dollar rose 0.3% and 0.2%, respectively.
That came after Israel launched deadly airstrikes against Iran, which the latter swore to avenge.
— Chloe Taylor
European stocks open lower
It’s about 20 minutes since the opening bell, and European shares are selling off as investors react to Israel’s strikes on Iran in the early hours of Friday morning.
The pan-European Stoxx 600 was last seen trading 1% lower, with all sectors except oil and gas in negative territory.
Oil prices surged on Friday after the escalation in the Middle East sparked concerns about supply.
Germany’s DAX was down 1.4% in early trade, while the French CAC 40 was 1.1% lower and London’s FTSE 100 — coming off of a record high — was down 0.5%.
— Chloe Taylor
Safe haven rush begins after Israel strikes Iran
Investors fled to safe-haven assets Friday after a series of Israeli airstrikes on Iran marked a major escalation of conflict in the region.
The scale of the attack, which Israel said was targeting Iran’s nuclear program, took markets by surprise, pushing up prices of assets thought to offer protection in times of heightened volatility.
“The news has led to significant fears about an escalation and a wider regional conflict,” Deutsche Bank strategists said in a note early Friday. “The effects of the attack have cascaded across global markets, with a strong risk-off move for several asset classes.”
— Katrina Bishop
Stock futures fall after Israel’s defense minister declares ‘special situation’ following attack on Iran
Stock futures tumble on Israel’s defense minister declares ‘special situation’ after attack on Iran.
U.S. stock futures turned lower on Thursday night after Israel’s defense minister Israel Katz declared a special state of emergency after an Israeli attack on Iran.
Dow futures tumbled 478 points, or 1.1%. S&P 500 futures fell 1.3%, and Nasdaq 100 futures lost 1.5%.
Brent crude futures also surged more than 5%.
Read more about the unfolding situation in the Middle East here.
—Darla Mercado
Individual investors are the least bearish since late January, AAII weekly survey shows
Only about a third of individual investors (33.6%) are bearish about the outlook for stocks over the next six months, the fewest since a January 22 reading of 29.4%, according to the latest weekly survey of sentiment by the American Association of Individual Investors.
Last week, 41.4% of Main Street investors characterized themselves as pessimistic about the short-term outlook for stocks. The historical average is 31%.
Bullishness, on the other hand, only rose to a three-week high of 36.7%, up from 32.7% last week and still below an historical average of 37.5%, the AAII said.
More investors described themselves as neutral about the outlook for stocks, 29.7%, than at any time since Feb. 19 — the same day the S&P 500 closed at an all-time high.
— Scott Schnipper
Big sector winners and losers this week
Energy has emerged as the top sector in the S&P 500 this week, toting a 3.9% advance through Thursday’s close. Top performers within the sector include ConocoPhillips, up about 8.6%; APA Corp, up 7.8%; and Halliburton with a 7.1% advance.
The industrials sector was at the bottom this week, on pace for a 0.7% decline. Top decliners in the space include United Airlines, off more than 8%, and GE Aerospace, which is on track for a 6.1% slide.
—Darla Mercado
Stock futures open little changed Thursday night
Stock futures were near the flatline on Thursday evening.
The S&P 500 futures opened 0.1% lower, as did the Nasdaq 100 futures. Dow futures lost 58 points, or 0.1%.
—Darla Mercado