Stock Market Today: Oil Jumps 5%, S&P 500 Drops As Iran Strikes UAE Port

U.S. stocks fell Monday after an Iranian drone strike on a UAE oil facility sent Brent crude above $114 a barrel, increasing expectations of a Federal Reserve rate hike by March 2027.
On Sunday night, President Donald Trump announced that the U.S. would “guide” stranded ships safely out of the Strait of Hormuz, warning that any further Iranian interference would be met with force. Tehran fired back within hours, declaring that “any foreign armed forces, especially the aggressive U.S. Army, will be attacked if they intend to approach and enter the Strait of Hormuz.”
The picture on the water remains murky. According to CNN, two U.S.-flagged vessels have successfully transited the Strait of Hormuz under U.S. military escort — but Iran’s Revolutionary Guard Corps has rejected that account as “