US equity markets are trading lower on Friday, with the Nasdaq Composite leading the decline as investors remain wary of escalating tensions in the Middle East.
The broad-based selling pressure is particularly acute in the technology sector, where major names including Alphabet and Tesla are facing headwinds from both macroeconomic and geopolitical factors.
The market downturn is being driven by a combination of Donald Trump’s military threats directed at Iran and the Houthis, alongside rising oil prices that are dampening investor sentiment.
These geopolitical developments are creating uncertainty about future energy costs and supply chain stability, prompting a risk-off stance among traders.
Adding to the pressure, preliminary reports from Alphabet and Tesla have further heightened uncertainty on Wall Street.
While specific details of the corporate updates are still emerging, the combination of mixed corporate news and geopolitical risk is proving difficult for tech-heavy indices to absorb.