Oil Prices Rally as Markets Await Inflation Data

Oil prices surged by 5% on Monday as markets focused on the Federal Reserve's interest rate outlook and a potential deal to reopen the Strait of Hormuz.

The Brent crude futures settled at $87.72 per barrel, while US West Texas Intermediate crude futures closed up at $82.13 per barrel.

Wall Street indexes retreated with the Dow Jones Industrial Average falling 0.11% to 53,975.98 and the S&P 500 edging down 0.06% to 7,753.11.

Economists polled by Reuters expect the US Consumer Price Index to have risen 3.4% year-on-year in data on Wednesday, which will impact Fed officials' thinking on rates.