US equities extended their losses on Thursday as the escalating conflict in Iran drove crude oil prices above $80 per barrel and sparked widespread fears of a global economic slowdown and resurging inflation. The Dow fell 1.8% while the S&P 500 and the Nasdaq retreated 0.81% and 0.61% respectively as investors dumped cyclically sensitive industrial and materials stocks. Caterpillar fell 3.6% while GE Aerospace dropped 3.4% as investors priced in the risk of supply chain disruptions and margin compression. Financial heavyweights also faced significant selling pressure with Goldman Sachs down 3.7% and Morgan Stanley retreating 3% amid a volatile yield environment. Energy benchmark WTI crude surged above $80 per barrel after reports of an Iranian missile strike on a tanker stoked fears of supply disruptions in the Strait of Hormuz.