Daily Recap: March 12, 2026

Oil Shock and Iran Tensions Rattle Wall Street

U.S. stocks fell sharply as the conflict involving Iran sent oil prices surging, with Brent crude settling above $100 a barrel. Investors grew increasingly concerned that a prolonged disruption in Middle East energy flows could fuel inflation, pressure consumer spending, and weigh on broader market sentiment. Reuters reported that Iran vowed to keep the Strait of Hormuz closed, while attacks on tankers and other shipping in Gulf waters deepened fears of one of the most severe oil-supply disruptions on record.

Fed Proposes Easier Bank Capital Rules in Win for Wall Street

The Federal Reserve moved to relax capital requirements for large banks, giving Wall Street a major regulatory win. Reuters reported that the proposal would soften parts of the Basel capital framework, ease leverage requirements, and potentially free up about $175 billion in excess capital across the banking sector. Supporters say the change could improve lending and support economic growth, while critics argue it may leave the financial system more vulnerable during periods of stress.

Goldman Pushes Back Fed Rate-Cut Call as Inflation Risks Rise

Goldman Sachs delayed its expected start of Fed rate cuts from June to September, warning that higher oil prices and rising inflation risks could complicate the outlook. For investors, that means hopes for cheaper borrowing and looser policy may have to wait longer than expected.

Indexes

Index Latest Price Change Change(%)

VIX 27.29 +3.06 +12.36%

S&P 6,672 -103.18 -1.52%

Nasdaq 22,311 -404.15 -1.78%