Wall Street closes with losses; energy stocks rise.

The averages fell amid a cautious market concerned about rising geopolitical tensions in the Middle East, while labor data was analyzed ahead of a key report.

Wall Street’s three main indices ended Thursday’s session with losses. Stocks dropped in a market wary of escalating tensions in the Middle East, while labor data was scrutinized in anticipation of a key report.

The Dow Jones Industrial Average, made up of 30 major companies, fell 0.44% to 42,011.59 points. The S&P 500, which includes 500 stocks, lost 0.17% to 5,699.94 points. The tech-heavy Nasdaq Composite edged down 0.04% to 17,918.48 points.

Israel continued bombing southern Lebanon, where it has launched a ground operation after eliminating last week the leaders of terrorist groups Hamas, Hezbollah, and an Iranian general. In response, Iran launched missiles at Israel.

Most sectors saw losses, led by consumer discretionary (-1.28%) and materials (-1.15%). Energy companies posted the largest gains (+1.58%), driven by a 5% increase in oil prices.

The price movement came after U.S. President Joe Biden told reporters, before boarding his helicopter, that they remain in contact with Israel and are discussing possible retaliation against Iranian oil facilities.

In the Dow Jones, notable decliners included Merck (-1.70%), Boeing (-1.55%), and Amazon (-1.52%). Outside the index, Tesla stood out with a drop of 3.35%, extending a strong negative trend from yesterday after disappointing delivery figures.

On the economic front, initial jobless claims increased slightly by 6,000 to a seasonally adjusted 225,000 last week. The data was released a day before the monthly employment report.