Oil-security strains and Fed uncertainty leave stocks lower after an intraday rebound

QQQ opened 1.95% lower and SPY 1.51% lower, then pared losses to end down 1.09% and 0.98%. Iraq cut crude production and reduced or halted exports after the Strait of Hormuz closure. The U.S. later announced political-risk insurance and guarantees for maritime and energy trade. Fed guidance remained mixed. Williams saw inflation at 2.5% this year and 2% in 2027, Schmid said services inflation was still too strong, and Kashkari said the Iran shock could alter the policy outlook. A report that the U.S. military was using Anthropic's Claude AI in the Iran war also linked technology more directly to the conflict.