Stocks Drop as Earnings Season Begins Amid Geopolitical Tensions

US equities open lower as Iran war negotiations fail, pushing up oil prices and inflation expectations

Apr. 13, 2026 at 1:39pm

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An extreme close-up of industrial banking gears and levers in shades of steel grey and gunmetal blue, conveying the heavy, mechanical nature of global finance as a metaphor for the current market conditions.As geopolitical tensions and inflation concerns weigh on the markets, the start of earnings season is marked by a disappointing report from a major Wall Street bank.NYC Today

US stocks opened lower on Friday as optimism about a swift resolution to the Iran war faded after the failure of negotiations over the weekend. This pushed up oil prices and inflation expectations, while the start of first-quarter earnings season was marked by a disappointing report from Goldman Sachs Group Inc.

Why it matters

The drop in US equities, led by the financial and healthcare sectors, reflects growing concerns about the economic impact of the ongoing conflict in the Middle East and its effect on energy prices and inflation. The weak earnings report from Goldman Sachs also signals a potentially challenging start to the earnings season for the broader market.

The details

The S&P 500 Index opened 0.3% lower, with Goldman Sachs among the index's worst performers. The bank's better-than-expected equity trading revenue failed to offset a miss in fixed-income, currency and commodities trading, marking a rough start to earnings season.

  • The market opened lower on Friday, April 13, 2026 at 9:32 a.m. New York time.

The players

S&P 500 Index

The benchmark US stock market index that tracks the performance of 500 large-cap publicly traded companies.

Goldman Sachs Group Inc.

A leading global investment banking, securities and investment management firm.

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What’s next

Investors will be closely watching the rest of the earnings season to gauge the overall health of the US economy and the impact of geopolitical tensions on corporate performance.

The takeaway

The drop in US stocks at the start of earnings season reflects growing concerns about the economic fallout from the ongoing Iran conflict, which is driving up oil prices and inflation expectations. The weak earnings report from Goldman Sachs also signals a potentially challenging start to the reporting period for the broader market.