02:19 PM EDT, 03/20/2026 (MT Newswires) -- US equity indexes fell intraday and were on track to log another week of losses, while oil prices rose amid continuing tensions in the Middle East.

The Nasdaq Composite was down 1.5% at 21,755.8 after midday Friday, while the S&P 500 fell 1% to 6,541.6. The Dow Jones Industrial Average lost 0.5% to 45,792.4. Barring energy and financials, all sectors were in the red, led by utilities' 2.3% slump.

The US government is mulling plans to occupy or blockade Kharg Island, Iran's main oil export terminal, to mount pressure on Tehran to allow shipments through the Strait of Hormuz, Axios reported Friday, citing sources.

The US is deploying up to 2,500 additional marines and three warships to the Middle East, The Wall Street Journal reported.

Brent was last up 2% at $110.87 a barrel, while West Texas Intermediate crude rose 2.9% to $98.33.

Brent was headed for another weekly gain as heightened tensions in the Middle East triggered fears of a prolonged supply disruption, with analysts pointing to upside risks to oil prices.

Iran continued its strikes on Gulf Arab states even after Israel said it would refrain from targeting Tehran's energy infrastructure again, Bloomberg News reported Friday. Kuwait closed several units at a refinery after multiple strikes, while the United Arab Emirates and Saudi Arabia intercepted missiles and drones overnight and into Friday, according to the report.

Earlier in the week, Iran struck a key liquefied natural gas export facility in Qatar after Israel attacked its South Pars gas field.

"The nature of the energy shock is evolving," Ole Hansen, head of commodity strategy at Saxo Bank, said in a report. "What began as a supply disruption risk centered on the Strait of Hormuz has developed into a more complex and persistent challenge involving damaged infrastructure, disrupted trade flows and with that rising macroeconomic headwinds."

The escalating conflict has prompted UBS to boost its oil price projections through 2027, including predicting an average of $100 a barrel for Brent in the second quarter, up from its previous forecast of $74. The brokerage said Brent could hit $150 in the second quarter and stay at that level until the end of the year if the conflict extends beyond April.

"We continue to see risk to the upside as long as flows via Hormuz are severely reduced," UBS analyst Henri Patricot wrote in a Friday note. "We see more crude sourcing challenges in the global oil market and in particular in Asia, if this conflict extends much beyond early April."

US Treasury yields were higher intraday, with the 10-year yield up 11.6 basis points at 4.37% and the two-year yield rising 8.6 basis points to 3.89%.

In company news, FedEx ( FDX ) shares were up 1.9% intraday. Late Thursday, FedEx ( FDX ) reported a surprise increase in fiscal third-quarter earnings as gains in domestic package volume helped lift revenue above Wall Street's estimates. The beat prompted the company to raise its full-year outlook.

FedEx ( FDX )' strong fiscal third quarter highlights momentum in an uncertain global trade environment, BofA Securities said in a note.

XPeng ( XPEV ) issued a downbeat first-quarter revenue outlook, although the Chinese electric vehicle manufacturer's sales topped expectations in the previous three-month period. The company's US-listed shares were down 7% intraday.

Gold fell 0.7% at $4,573.40 per troy ounce intraday, while silver lost 2.3% to $69.60 per ounce.