U.S. equities extended losses on March 4 as the Iran conflict reached its fifth day, with retaliatory attacks on U.S. assets and broader regional involvement. The Dow Jones Industrial Average fell 2.1% or 1,010 points to 47,075, the S&P 500 dropped 2.0% to 6,653, and the Nasdaq declined 2.2% to 21,950. European markets remained under pressure, with the FTSE 100 down 3.2% and the DAX off 3.8%. Asian indices weakened further, with the Nikkei 225 falling 3.4% and the ASX 200 down 1.2%.

Sector declines accelerated: technology shed 2.5% amid global uncertainty, energy rose 3.8% on sustained crude strength, but financials and industrials each lost over 2.3%. Small-caps lagged large caps by 0.8%. The VIX climbed another 9.2% to 26.47, indicating persistent short-term risks. Early March moves have amplified February's mixed close, with the S&P 500 now tracking a 2.8% monthly drop.

Yields continued upward amid war-related inflation fears. The 10-year U.S. Treasury yield rose 10 basis points to 4.13%, with two-year yields up 7 basis points to 3.92%. The yield curve steepened to 21 basis points.

Corporate spreads expanded 6 basis points to 103 over Treasuries, as credit markets absorbed higher risk premiums.

Safe-haven flows supported the dollar. The U.S. dollar index advanced 0.9% to 99.44. USD/JPY rose 0.7% to 158.85, USD/CHF gained 0.6% to 0.7731. EUR/USD decreased 0.9% to 1.1496, with emerging currencies down 0.5% versus the dollar.

Supply disruptions pushed commodities higher. Brent crude added 7.9% to 91.00 per barrel, WTI increased 9.2% to 83.85. Gold dipped 0.8% to 5,169 per ounce, silver fell 1.2% to 82.19. Natural gas prices gained 4.5% to 3.28 per MMBtu. Platinum dropped another 4.2% to 1,995 per ounce.

No major U.S. data releases, but ongoing conflict overshadowed February's ISM PMI of 52.4 and S&P Global reading of 51.6. European PMIs showed contraction, with the eurozone at 48.2. Geopolitical tensions built on January's commodity surges, with energy up another 12% month-to-date. Bitcoin fell 2.1% to 66,040.

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Markets open with ongoing energy gains, elevated yields, high volatility, and equity futures indicating continued softness.