Oil Prices Surge Above $100, Fueling Inflation Concerns
Oil prices continue to rise as tensions persist in the Middle East. The price of Brent crude briefly topped $108 per barrel for the first time since May, settling at $107.63. U.S. oil rose 6.7% to settle at $102.48, back to where it was before Memorial Day.
The surge has fueled inflation concerns and put pressure on the bond market, leading stocks to decline. The S&P 500 fell 0.6%, while the Dow Jones Industrial Average dropped 381 points or 0.7%. The Nasdaq composite also fell 0.6%.
President Donald Trump stated that oil prices won't decrease until after the U.S. midterm elections in November, further exacerbating concerns about inflation. The price of a gallon of regular gasoline has reached nearly $4.28 across the United States, up nearly 34% from last year.