Major indices are lower and near session lows as investors continue to react to the Iran Conflict and this morning’s CPI data.

Energy (XLE) is the only sector holding gains as developments on the energy front continue to garner attention. Financials (XLF) continue to be under pressure following reports that Cliffwater’s flagship private credit fund is facing withdrawal requests over 7% as well as further scrutiny on Jefferies' (JEF) credit and underwriting standards over exposure to recent bankruptcies.

Notably, the Ten-Year treasury Yield (TNX) is up 7.6 basis points and retaking the 4.20% level.

Missile interceptors are playing a key role in defending the gulf coast countries, Israel, and US bases from Iranian attacks. As a result, many of these interceptor systems will likely need replenishment following many waves of intercepted missiles.

In other news, the Trump administration is expected to announce new Section 301 trade investigations aimed at finding new ways to issue tariffs.

From this morning’s CPI report, we saw oil with the largest M/M increase, rising 11.1% after falling 5.7% in January. On the other hand, transportation services prices decelerated, while electricity prices accelerated their fall from the prior month.