The US stock market experienced a significant sell-off, erasing nearly $1 trillion in value as oil prices surged towards $100 per barrel. On March 12, 2026, the Dow, S&P 500, and Nasdaq each fell over 1.5%, driven by rising geopolitical tensions and inflation fears. Energy stocks were the rare gainers amid the turmoil. The spike in oil prices, particularly Brent crude surpassing $100, heightened concerns about prolonged inflation, potentially limiting the Federal Reserve's ability to cut interest rates. This market reaction comes ahead of the Fed's March 17 meeting, where expectations for rate easing have diminished. Industrial and banking sectors were notably impacted, while energy shares benefited from the rising crude prices.