Stocks Fall as Middle East Tensions Weigh on Wall Street

Stocks fell as Middle East tensions rose; oil and yields jumped. Dow and S&P 500 dropped 0.6%-0.8%; Nasdaq dipped 0.7%.

Morgan Stanley profits declined 9% as trading and investment banking revenue fell. Stock slid 6% on weak results.

Yields rose with 30-year Treasury topping 5% and 10-year reaching 4.9%, highest since 2006. Higher rates raise recession and Fed hike risks.

Nvidia stock dropped on new US curbs on AI chip exports to China. But rules give Nvidia a potential lifeline.

Biden visits Israel but Gaza blast dims diplomatic hopes. Crude oil futures climbed above $88 on Iran embargo call.