US sharemarkets ended mostly lower on Tuesday in choppy trading as oil prices retreated sharply and investors continued to monitor developments in the Iran conflict. The S&P 500 slipped 0.21% to close at 6,781.48, while the Dow Jones Industrial Average edged down 34 points, or 0.07%, to 47,706.51. The Nasdaq Composite was little changed, rising 0.01% to finish at 22,697.10.
The session was marked by sharp swings. Earlier in the day the Dow had fallen nearly 300 points, while the S&P 500 and Nasdaq each dropped about 0.5% before trimming their losses into the close.
Oil prices tumble amid conflicting war reports
Energy markets drove much of the volatility. Oil prices fell sharply after traders speculated that major economies could release emergency crude reserves to offset disruptions caused by the conflict in the Middle East.
West Texas Intermediate crude dropped 11.94% to settle at US$83.45 a barrel, while Brent crude fell 11.28% to US$87.80. The pullback followed a dramatic surge earlier in the week when oil briefly approached US$120 a barrel amid fears of supply disruptions through the Strait of Hormuz.
Australian market outlook
Australian shares are set to open modestly higher on Wednesday as oil prices retreat and global markets stabilise. ASX 200 futures were up 24 points, or 0.3%, to 8,719.
There are no major Australian economic data releases scheduled for Wednesday. Offshore, Japan will release its February producer price index, while US markets will focus on the February consumer price index due later in the evening.
