A combination of concerns knocked the stock market lower Tuesday, snapping a two-day run.
Crude oil climbed above $60 a barrel for the first time this year, raising expectations for rising inflation and interest rates. Greece’s government remained in a standoff with its European creditors as a debt payment looms next week.
“There are some jitters,” said Bill Stone, chief investment officer at PNC Asset Management Group. “Greece is definitely part of it. The other part is oil prices going up. That implies more inflation.”
Major indexes wavered at the outset of trading, drifted lower throughout the morning, then spent the afternoon slowly ceding ground.
The Standard & Poor’s 500 index fell 25.03, or 1.2 percent, to 2,089.46. The Dow Jones industrial average fell 142.20, or 0.8 percent, to 17,928.20. The Nasdaq composite fell 77.60, or 1.6 percent, to 4,939.33.
The price of oil jumped $1.47 and closed at $60.40 a barrel, the first time crude has traded that high since early December, following reports that a Libyan oil terminal had closed. Brent crude rose $1.07 to $67.52 in London.
An impasse in talks between Greece and its lenders raised concerns about the country’s ability to handle an upcoming debt payment. Greece will have to scrounge for cash to make a payment of 750 million euros ($840 million) to the International Monetary Fund due May 12.