Oil Prices Soar as US-Iran Tensions Escalate
US stocks slipped Monday as tensions between the US and Iran escalated, pushing oil prices and Treasury yields higher.
The conflict revived worries that energy supply routes could be disrupted, causing oil to rise. October West Texas Intermediate crude increased to about $86 a barrel, while November Brent rose to roughly $90.
Meanwhile, a stronger-than-expected reading from the Dallas Fed's monthly manufacturing survey added to the view that the economy is still running hot, which can keep pressure on government bond yields.
Tesla gained after reports it's offering a simplified, lower-priced Model 3 in Hong Kong and Macau. However, two California utilities, PG&E and Edison International, slid more than 20% due to an amendment in legislation tied to wildfire victims' ability to sue utilities for equipment-caused fires.