Oil Price Surge Puts US Stocks Under Pressure Ahead of Inflation Reports

The US stock market is experiencing pressure from rising oil prices after Brent crude briefly climbed to $99.46 per barrel, settling at $97.92, up 0.9%.

This price increase has exacerbated concerns about high inflation, which will be reflected in two key reports released this week: the August wholesale inflation report on Thursday and the consumer inflation report on Friday.

Economists expect the wholesale inflation rate to accelerate to 5.4% from 4.7% in July, while the consumer inflation rate is expected to ease slightly to 3.3% from 3.4%.

The Federal Reserve will meet next week to decide on interest rates, and traders are betting on a 60% probability of a rate hike at the conclusion of its meeting on September 16.