Stocks Fall on War, Credit Woes as Brent Tops $100: Markets Wrap

A renewed oil spike stoked fears the war in Iran will further crimp energy supplies and fuel inflation, spurring a slide in stocks, which were also hit by signs of distress in the $1.8 trillion private-credit market.

Brent closed above $100 for the first time since 2022, with the Strait of Hormuz blockage choking off flows through the trade artery. The S&P 500 fell 1.5% to the lowest since November. Banks sank as redemption requests from private-credit funds forced Morgan Stanley and Cliffwater LLC to cap withdrawals. Deutsche Bank AG flagged a $30 billion exposure to the sector. A gauge of megacaps approached the threshold of a correction. In late hours, Adobe Inc. gave a tepid outlook and said its chief will resign.