Commodities
Oil Prices Surge After Trump Rejects Iran's Proposal to Open Strait of Hormuz
US stocks fell Monday as oil prices surged to nearly $102 per barrel following President Donald Trump's rejection of an Iranian proposal to open the Strait of Hormuz. The price of Brent crude briefly climbed above $101 before paring its gains, settling at $97.83.
The rise in oil prices has worsened inflation, with the average price for a gallon of regular gasoline up nearly 44% from last year's level of $3.13, according to AAA.
Stocks of airlines and other companies with big fuel bills sank due to the increase in oil prices. American Airlines fell 2.5%, while United Airlines lost 2.2%. Gold miners were also weak after the price of gold sank 3.5%.