Crude Oil Hits $100 as Macro Pressure Continues to Build

Crude oil prices have surged past $100 for the first time in over three months, driven by ongoing macroeconomic pressure. The price of WTI Crude Oil is up 11.65% this week, on pace for its second strongest weekly gain since the Iran war began in March.

Inflation data has taken center stage, but continued strength in oil prices could add to expectations of higher inflation down the road. However, markets often don't react logically to stimuli, and in some cases, relationships between assets can be unclear or delayed.

Tomorrow's CPI report and rising US Treasury yields have heightened concerns about a potential problem for the US government, which is facing a large amount of debt coming due over the next year. President Trump and US Treasury Secretary Scott Bessent have both stated that the country will 'grow its way out of debt,' but this may not be enough to alleviate pressure.

As oil prices continue to rise, there's a risk of profit-taking ahead of or into the weekend, particularly if President Trump makes any comments about peace in the region. This could unsettle longs and prompt some selling. A pullback to around $100 could be seen as a sign of value for bulls.