Crude Oil Surges, Weighing on Equities as Bitcoin Hits Resistance
The global markets are experiencing a mixed day, with some stocks rising and others falling. The S&P 500 is on pace to open down 0.4%, while the Nasdaq trades down more than 0.5%. This comes as crude oil prices surge, with WTI trading above $95 per barrel after a 3% gain. The increase in oil prices has weighed on equity prices and has raised concerns about inflation.
Asian stocks were mixed overnight, with the Nikkei and Hang Seng experiencing modest losses of less than 0.3%, while the Kospi rallied 1.4%. In China, August CPI increased 0.4%, slightly higher than expected at 0.3%, marking the first positive month-over-month reading since April.
European stocks are facing steeper losses this morning after Brent crossed the psychologically important $100 level. The STOXX 600 is down more than 1%, with every major benchmark also down by at least 1%. Apple will hold its new product announcement today, where the foldable iPhone is widely expected to be unveiled.
Bitcoin prices have stalled out just below $80K since their big jump in August around the time of the Treasury Secretary's revised buyback program. The cryptocurrency has been well above its 50- and 200-day moving averages, with those moving averages experiencing a golden cross for the first time since May 2025.